Question

If no public notice of dissolution of a firm is given :

• A. All the partners continue to remain liable to third party
• B. The firm is adjudged defaulter
• C. The firm stand dissolved
• D. Still the firm is not liable to third party

Answer 1

Answer: (A)

All the partners continue to remain liable to third party

Section 72 lays down the manner and the cases in which the public notice of certain matter relating to partnership firm is to be given. According to this section, If on dissolution of a registered firm a public notice is not given, the partners shall continue to be liable to third parties for any act done by any of them which would have been an act of the firm done before dissolution.