Agreement Admitting A Minor To The Benefit Of Partnership Legal Draft Template

This Agreement is

made at this ......... day of ......... between Mr. A of the First Part, Mr. B

of the Second Part and Mr. C of the Third Part and Shrimati X for self and as

the natural guardian of her minor son Y of the Fourth Part.Whereas the parties

hereto of the First Second and Third Parts have been carrying on business in

partnership alongwith Mr. D In terms of deed of partnership dated .........

entered into by the said partners.And Whereas the said

D died on the day of ......... leaving his widow X and a minor son named Y as

his heirs.And Whereas the said

X made a claim for the share of the said D In the assets of the said

partnership including goodwill and undistributed profits .And Whereas the said

claim has been settled between the parties hereto of the first, second and

third parts and the said X and It Is agreed that the said X for self and as the

natural guardian of the said minor Y shall be paid a sum of Rupees ..........

in full payment of the share of the said deceased partner D In the capital

assets including goodwill of the said partnership and that the said Y shall be

admitted to the benefits of the partnerships by paying a share of 5% In the net

profits of the firm.And Whereas the said

amount of ......... has been paid to the said X before the execution of these

presents partly in cash and partly in securities In the nature of units of the

Unit Trust and purchased in the name of the said X and the said minor Y jointly

in order to safeguard the interest of the said Y and the said X hereby

acknowledges receipt of the said amount in full and declares that she for self

and as the natural guardian of the said Y. has no claim against said firm on

account of the share of the said deceased partner D.And Whereas the

parties hereto of the first, second and third parts further agree that they

hereby admit minor Y to the benefits of the said partnership by paying him a

share of 5% in the net profits of the said partnership. He will not be liable

to pay any part of the losses of the said firm.And Whereas the

parties of the first, second and third parts agree and declare that they will

pay the amount of the said share of the minor Y in the net profits of the firm

within three months from the end of the accounting year.And Whereas it is

further agreed and declared that in view of the share given to the said Y in

the profits of the firm the shares of the partners of the first. second and

third parts in the profits of the firm will be readjusted and shall be as

follows-Mr. A's share will be

......... 35%Mr. B's share will be

......... 35%Mr. C's share will be

......... 25%However the losses of

the partnership will be borne by the parties of the first, second and third

parts equally.And Whereas it is

further agreed and declared that on the said minor attaining the age of 18

years. he will be admitted as a partner In the said firm if the partnership

continues till then, on such terms as may be agreed between all the then

partners and the said D but not otherwise.And Whereas subject

as aforesaid the parties of the first, second and third parts will continue to

carry on the business in partnership in terms of the said deed of partnership

above recited.And Whereas amendment

made by this deed in the constitution and terms of the partnership will be

registered as required by the Partnership Act, and the Income Tax Act within

the prescribed terms.IN WITNESS WHEREOF

the partners have put their hands the day and year first hereinabove writtenSigned by the

withinnamed Mr. A in the presence ofSigned by the

withinnamed Mr. B in the presence ofSigned by the

withinnamed Mr. C in the presence ofSigned by the

withinnamed Mr. Xfor self and as

natural guardian of Y a minor in the presence of