Distinguish between the following.
Joint Hindu Family firm and Partnership
Joint Hindu Family firm and Partnership
Difference between Joint Hindu Family Firm and Partnership Firm
Basis of Difference
Joint Hindu Family Firm
Partnership Firm
Regulating Act
Governed by the Hindu laws & the Hindu Succession Act 1956.
Governed by the Indian Partnership Act 1932.
Number of members
Minimum: 2
Maximum: No limit
Minimum: 2
Maximum: 10 for banking business and 20 for other businesses
Minor
Minors can be members.
Minors cannot be members
Liability
Liability of all members is limited, but the liability of the Karta is unlimited.
Liability of the partners is unlimited.
Management and control
Management and control lie in the hands of the Karta.
Management and control are shared by the partners.
Decision making
All decisions are taken by the Karta.
Any decision requires the consent of all partners.
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Difference between Joint Hindu Family Firm and Partnership Firm |
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Basis of Difference |
Joint Hindu Family Firm |
Partnership Firm |
|
Regulating Act |
Governed by the Hindu laws & the Hindu Succession Act 1956. |
Governed by the Indian Partnership Act 1932. |
|
Number of members |
Minimum: 2 Maximum: No limit |
Minimum: 2 Maximum: 10 for banking business and 20 for other businesses |
|
Minor |
Minors can be members. |
Minors cannot be members |
|
Liability |
Liability of all members is limited, but the liability of the Karta is unlimited. |
Liability of the partners is unlimited. |
|
Management and control |
Management and control lie in the hands of the Karta. |
Management and control are shared by the partners. |
|
Decision making |
All decisions are taken by the Karta. |
Any decision requires the consent of all partners. |
