Question

X, Y and Z are partners. Z gives notice of his retirement to other partners but does not give public notice of it. X and Y admit P and continues business in the old name. W gives credit to the firm without having notice of the change? Can W sue X, Y, Z and P jointly?

Answer 1

Solution: Section to which the given problem relates: Section 32(3).
Decision: No.
Reason: He can sue at his option either old partners (X, Y and Z) on grounds of, estopple or new partners (X, V and P) on grounds of facts.