Section 28 Indian Partnership Act

Section 28 of the Indian Partnership Act 1932 is about Holding out. It is under CHAPTER IV (RELATION OF PARTNERS TO THIRD PARTIES) of the Act.

Holding out

(1) Any one who by words spoken or written or by conduct represents himself, or knowingly permits himself to be represented, to be a partner in a firm, is liable as a partner in that firm to any one who has on the faith of any such representation given credit to the firm, whether the person representing himself or represented to be a partner does or does not know that the representation has reached the person so giving credit.

(2) Where after a partner’s death the business is continued in the old firm name, the continued use of that name or of the deceased partner’s name as a part thereof shall not itself make his legal representative or his estate liable for any act of the firm done after his death.