LLP,2008

IMPORTANT TERMS
• Body corporate
• No of partners
• Designated partners
• Profit sharing
• Partners are agent
• DPIN
• Decision making mechanism(majority rule)
• Management
 Features/Distinguish between PA&LLP

• Governing Act
• No of partners
• Legal status
• Perpetual succession
• Registration
• Liability
• Legal proceeding
• Principal & agent
• Ownership of assets
• Transfer of interest
 LIABILITY OF A PARTNER AND LLP
• Partner as agent of the firm and not his co-partners
• Liability is limited
• Notice to partners is notice to LLP
• In case of LLP:
Individual liability
Holding out
Liability for fraud(upto 2 years imprisonment, fine 50k-
5lakhs
Whistle blowing
 WINDING UP OF LLP
• Voluntary
• Tribunal
Notice to be pulished in 14 days- registered office of
the LLP
In case of default 50 per day
Official liquidator appointment
Call for general meeting of LLP and Creditors
(notice 1 month in advance)
Report to ROC within 1 week
 Contd…
• Tribunal
Membership falls below 2 for more than 6 months
Unable to pay debts
Default in filing annual report or statements of accounts
Petition by LLP or creditors ,ROC,CG
Order of winding up in 30 days to ROC
Penalty for default rupees 100 everyday
After completion of winding up – liquidator fwd copy to ROC
(30 days)
-in default rupees 50 per day