Part 4Financial reporting, dissolution of partnership, and other miscellaneous provisions
End of partnership: Dissolving a partnership
75Continuing authority of partners for purposes of winding up and completing transactions
This section applies after a partnership is dissolved.
The authority of each partner to bind the firm, and the other rights and obligations of the partners, continue (despite the dissolution) to the extent that is necessary—
- to wind up the affairs of the partnership; and
- to complete transactions begun before, but unfinished at, the time that the partnership is dissolved.
The authority and the rights and obligations do not otherwise continue.
Despite subsection (2), the firm is not bound by the acts of a partner who is bankrupt.
Subsection (4) does not affect the liability of a person who has, after a partner becomes bankrupt,—
- represented themselves as a partner of the bankrupt; or
- knowingly allowed themselves to be represented as a partner of the bankrupt.
Compare
- 1908 No 139 s 41