question archive Jane, Jasmeen and Janet are partners in a firm in Petaling Jaya called Jasmeennet Trading

Jane, Jasmeen and Janet are partners in a firm in Petaling Jaya called Jasmeennet Trading

Subject:LawPrice: Bought3

Jane, Jasmeen and Janet are partners in a firm in Petaling Jaya called Jasmeennet Trading. Jasmeennet
Trading is in the business of Interior Home Design. Although the firm was formed for a fixed period of 5
years they have been carrying on the business for the last 7 years. Recently the following facts have come
to light:

a) Janet who has the task of collecting money due from customers has been receiving cash incentives
from some customers for giving them some extra time to pay up.

 

b) Jane and Jasmeen have together set up another similar business in Klang, their hometown and
have left it in the management of Jane's sister, Jessica. They will go to Klang once in two weeks
to keep an eye on the business and take account of the profits.

c) Jane wishes to introduce Jessica as a partner. However, Jasmeen and Janet are opposed to this
idea and have threatened to expel Jane if she insists on doing so. The partnership agreement is
silent on the question of introduction and expulsion of partners.

d) Jane wishes to have the firm dissolved because she no longer has confidence in the other partners.

With reference to the Partnership Act 1961 and decided cases, if any, advice the parties as to the legal
position on these matters.

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