28Rules about interests and duties of partners

28 Rules about interests and duties of partners (1) The interest of a partner in partnership property and a partner's rights and duties in relation to the partnership are to be determined, subject to an express or implied agreement between the partners, by the following rules: (a) all partners are entitled to share equally in the capital and profits of the business and must contribute equally towards the losses, whether of capital or otherwise, sustained by the firm; (b) the firm must indemnify a partner in respect of payments made and personal liabilities incurred by the partner: (i) in the ordinary and proper conduct of the business of the firm; or (ii) in or about anything necessarily done for the preservation of the business or property of the firm; (c) a partner who makes an actual payment or advance for the purpose of the partnership beyond the amount of capital that the partner has agreed to subscribe is entitled to interest at the rate of 7% per annum from the date of the payment or advance; (d) a partner is not entitled, before profits are ascertained, to interest on the capital subscribed by the partner; (e) a partner may take part in the management of the partnership business; (f) a partner is not entitled to remuneration for acting in the partnership business; (g) a person may not be introduced as a partner without the consent of all existing partners; (h) a difference arising as to an ordinary matter connected with the partnership business may be decided by a majority of the partners but no change may be made in the nature of the partnership business without the consent of all existing partners; (j) the partnership books are to be kept at the place of business of the partnership (or the principal place if there is more than one) and a partner may, when he or she thinks fit, have access to, inspect and copy the partnership books. (2) This section does not apply to an incorporated limited partnership. Part 2 Partnerships generally Division 3 Relationship between partners Partnership Act 1997 16