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Question

Legal Studies Question on Company Law

Pick the incorrect statement.

A

A partner in possession of more information about the affairs and assets of the firm should not disclose to his co-partners.

B

Every partner should indemnify the firm for any loss caused to it due to his fraud.

C

A retired partner is not liable for acts of the firm done before his retirement.

D

Every partner should use the property of the firm for firm’s purposes only.

Answer

A retired partner is not liable for acts of the firm done before his retirement.

Explanation

Solution

The correct option is (C): A retired partner is not liable for acts of the firm done before his retirement..