CA Inter P2 · Chapter 11 · Question 2 of 11
Alpha LLP had two partners. One partner died, and the LLP continued its business with only the surviving partner for nine months. Under section 6(2), the surviving partner, who knew of the situation, is:
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: D) Personally liable for the obligations of the LLP incurred during the period after the first six months
Explanation
Section 6(1) requires every LLP to have at least two partners. Under section 6(2), if the number falls below two and the LLP carries on business for more than six months while so reduced, the sole partner who knows of this is personally liable. The liability covers the LLP's obligations incurred during the period after those six months.
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