Annex C – Definitions

Annex C – Definitions                  

Agency – the relationship between the partners (see paragraph 70).

Capital  the amount contributed by the partners for the purpose of commencing trading (see paragraph 31)

Dissolution – the process by which the partnership is wound-up (in the general sense) (see paragraph 78)

Firm name – the name by which a partnership is known (see paragraph 24)

General dissolution – a full dissolution (see paragraph 81).

General partner – a partner in a limited partnership who is able to manage the partnership (see paragraph 41)

Individual member – a partner who is a natural person

Insolvent member – a partner who is subject to an insolvency order

Joint bankruptcy petition – a type of bankruptcy petition where all members petition for bankruptcy and the partnership business is wound up (see paragraph 99E).

Joint debt – a debt of a partnership

Joint estate – the partnership property (see paragraph 32)

Limited liability partnership -a type of partnership where member(s) have limited liability (see Part 2)

Limited partner – a partner in a limited partnership who has limited liability and may not take part in the management of the partnership (see paragraph 41)

Member – a partner (see Part 4)

Officer – a partner or a person who has management or control of the partnership business (see paragraph 113)

Partner – a member of a partnership (see Part 4)

Partnership – the relation which subsists between persons carrying on a business in common with a view to a profit (see paragraph 8) 

Partnership agreement – the document that sets out the rules for the running of the partnership (see Part 3)

Partnership property – the property owned by the partnership not owned by the individual members personally (see paragraph 32)

Separate debt – a debt for which a partner is personally responsible, other than a partnership

Separate estate – property of a partner not property of the partnership

Separate property – the property owned by the partners not owned by the partnership

Solvent partner – a term used to describe a partner of an insolvent partnership who is not him/herself subject to an insolvency order.  Despite the description, they are not necessarily ‘solvent’ in the true sense of the word.

Taking the account – the process by which the solvent members of the partnership calculate the partners’ interests in the partnership. Corporate member – a partner that is a limited company (see paragraph 146).

Technical dissolution – a dissolution that does not affect the business of the partnership (see paragraph 80).