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)
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).