Partnership Act 1997
40Rights of persons dealing with firm against apparent members
Start here
Get a plain-English read of 40
Turn the raw legal text into a practical explanation grounded in Partnership Act 1997.
40 Rights of persons dealing with firm against apparent members of firm (1) Where a person deals with a firm after a change in its constitution, the person is entitled to treat all apparent members of the old firm as still being members until the person has notice of the change. (2) For the purposes of subsection (1), an advertisement in the Gazette and in a newspaper circulating in the area in which a firm carries on business, as to a firm whose principal place of business is in the Territory, is notice to a person who has not had dealings with the firm before the date of the dissolution or change advertised. (3) The estate of a partner who dies or becomes bankrupt is not liable for partnership debts contracted after the date of the partner's death or bankruptcy. (4) The estate of a partner who has retired and who was not known to a person dealing with the firm to be a partner is not liable for partnership debts contracted after the date of the partner's retirement.