... sharing risk, sharing opportunity, and, often, sharing worry. The whole idea of partnership depends on absolute trust and good faith between partners. The difficulties come when the trust and respect between partners has broken down. Partners can act only within their legal authority and must carry out their duties with reasonable care and skill. Each partner contributes money, property, labour or skill to the partnership and in way to share in the profits or losses of the business. The concept is that there is one pool which receives an income and pays out expenses and when that has been done the remainder (hopefully a profit) is shared between the partners on whatever basis they have agreed and any resulting contract is binding on the other partners whether or not they actually authorized (The Partnership Act 1890). Unlike partnership the legal position of the company is completely unaffected by the death or ...

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