Liabilities of Partner
Every partner is jointly and severally
liable for all acts of the firm. It means that in case the assets are
inadequate for meeting the claims of creditors, even their personal properties
should be made available. The creditors can recover their claims from all the
The firm is liable for any loss
caused to a third party because of a
wrongful act done in the ordinary course of business. It means that every
partner is liable.
Where a partner receives money or
property from a third party on behalf of the firm and misappropriates it, then
the firm is liable to make good the loss.