A continuing guarantee to a firm ends for future dealings upon what?
AA change of partners
BA change of bank
CAn annual audit
DA change of premises
Answer & Solution
Correct answer: A. A change of partners
Section 38 revokes such a guarantee as to future transactions from any change in the constitution of the firm, unless agreed otherwise.
Keep practising Partnership
Browse all Partnership questions for CA Foundation, or explore more Businesslaw topics.
Related questions
A fixed-term firm carrying on after expiry takes the incidents of what?While settling accounts after dissolution, goodwill is treated as what?A partner rescinding for fraud ranks as what regarding debt payments he made?No premium refund follows when dissolution is mainly due to what?After dissolution, a partner's authority continues for what purpose?Which is repaid first among partners after outside debts?Settling accounts after dissolution, firm assets first pay what?Public notice of a registered firm's dissolution includes which publication?