Section 25 of Partnerships Act 16 of 2012: Non-partners who are liable by “holding out”
(1) A person who is not a partner in a partnership and who by words spoken or written or by conduct—
(a) represents the partnership as a partner; or
(b) knowingly allows the partnership to be represented as a partner, is personally liable as a partner, for any obligation incurred to anyone who, on the faith of that representation, deals with the person.
(2) A person who was a partner at the time a representation was made is liable under subsection (1) even if the representation was not acted on until after the person ceased to be a partner.
(3) Subsection (1) applies—
(a) even if the former partner does not know that the representation has been made or communicated to a person; and
(b) whether the representation is made or communicated in writing, by conduct or otherwise.
(4) A former partner shall be entitled to be indemnified by the partnership in respect of a payment made by the partner to discharge the whole or a part of personal liability under subsection (1) for a partnership obligation or in reasonable settlement of an alleged personal liability under subsection (1).
(5) An indemnity under subsection (4) shall not affect any claim which the partnership or a partner may have against a former partner.
(6) This section shall apply subject to section 33.
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(2) If—
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- Section 32 - Former partners: indemnity and contribution, and return of property
(1) A partnership shall indemnify a former partner in respect of payment made by the partner to discharge the whole or part of his personal liability for a partnership obligation.
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- Section 33 - Restrictions on liability of former partners or employees by “holding out”
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- Section 34 - Position of assignee of partner’s share
(1) An assignment of a share in a partnership shall not entitle the assignee to—
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(2) Subsection...
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(1) A person who voluntarily ceases to be a partner in a partnership—
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(2) An...
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(b) a person interested in the winding up of the partnership; or
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(1) A person who—
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(1) The Registrar may make rules relating to the procedures of registration under this Act.
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- Section 75 - Rules
The Minister may, on the recommendation of the Registrar, make rules for the better carrying into effect of the provisions of this Act.