Questions & Answers
Liability of company partners toward the debts of a partner
Hi,
I run a trading company and we have 2 partners. My name is also in the license as a partner.
1. If the other partner ran away from the company with money, will I be responsible for the supplier payments & other dues if anything remains on the company because I am the other partner? Will I face legal action if they file a complaint?
2. If the other partner is signing the cheque on behalf of the company, and the cheque bounces for no money, will I be responsible for that because I am also a partner? Can they put a cheque bounce case for me although I didn't sign the cheque?
Dear Questioner,
Good evening.
Thanks for contacting online.
Regarding the liability towards suppliers, it is not a personal liability, as it is the liability of the company towards its suppliers.
And whenever a case for recovery comes, you are also liable as one among the partners of the company.
But in case of a criminal case for bounced cheques, the accused person would be the person who signed the cheque.
But if the signatory is not available, the court may look into the details of the license.
Please feel free to contact me on 0556635526 or WhatsApp me on 0508575526 or email me at ar@alnassaradvocates.com if you need any further explanation or clarification.
Regards,
Anitha Rajeev
