The new partner acquired the rights on admission into the firm. He acquires :(A) Rights in past profits of firm before admission.(B) Right to share in the future profits of the firm.(C) Right to share assets of the firm.(D) The right to carry on competing business.Choose the correct answer from the options given below:
- A(B) and (C) only
- B(A), (B) and (D) only
- C(A), (B), (C) and (D)
- D(B), (C) and (D) only
Solution & Step-by-step Explanation
Upon admission, a incoming partner gets two main legal rights:Right to share the future profits of the partnership firm (B).Right to share the joint assets of the firm (C).They do not have claims on past accumulated profits (which belong purely to old partners) and cannot carry out a competing business violating generic fiduciary duties.