Existence

Partnership agreements can be verbal or implied, with conduct serving as evidence. The existence of a partnership hinges on mutual business activity aimed at profit, governed either by a written agreement or default rules.

Disputes over partnership status can arise, affecting liability and profit sharing. The Partnership Act of 1890 codifies partnership law, requiring a common business interest for partnership formation. Sharing profits, assets, and responsibilities are indicative of partnership, but not definitive.

Factors such as control, naming conventions, and profit distribution influence partnership determination. Receipt of profits isn’t conclusive evidence of partnership, while joint property ownership may not constitute a partnership unless business activities are involved.

Certain arrangements, like loan repayments and employee remuneration, are presumed not to be partnerships but can be rebutted based on circumstances. Courts examine the entirety of the situation in resolving partnership disputes.

Read a detailed Article on this subject with the Legislation and Cases, browse Irish Legal Guide  or Contact Us for advice below.