Section51
The Indian Partnership Act, 1932

Return of premium on premature dissolution

In force Act 9 of 1932 As on 15 Oct 2026

Act 9 of 1932 Ministry Corporate Affairs Enacted 08 Apr 1932

Commencement. 1932-10-01 (except section 69) 1933-10-01

Section 51 of the Indian Partnership Act, 1932 deals with return of premium on premature dissolution. Where a partner has paid a premium on entering into partnership for a fixed term, and the firm is dissolved before the expiration of that term otherwise than by the death of a partner, he shall be entitled to repayment of the premium or of such part thereof as may be reasonable, regard being had to The Act was enacted on 08 Apr 1932.

Where a partner has paid a premium on entering into partnership for a fixed term, and the firm is dissolved before the expiration of that term otherwise than by the death of a partner, he shall be entitled to repayment of the premium or of such part thereof as may be reasonable, regard being had to the terms upon which he became a partner and to the length of time during which he was a partner, unless--

(a) the dissolution is mainly due to his own misconduct, or

(b) the dissolution is in pursuance of an agreement containing no provision for the return of the premium or any part of it.

Section 51, The Indian Partnership Act, 1932 (Act 9 of 1932).

Questions about Section 51

What does Section 51 of the Indian Partnership Act deal with?

Section 51 of the Indian Partnership Act is headed "Return of premium on premature dissolution". Where a partner has paid a premium on entering into partnership for a fixed term, and the firm is dissolved before the expiration of that term otherwise than by the death of a partner, he shall be entitled to repayment of the premium or of such part thereof as may be reasonable, regard being had to

How do I find court cases under Section 51 of the Indian Partnership Act?

In judgments and charge sheets this section is written several ways, and each form finds a different set of orders. These search the full text of every order eCourtsIndia holds, best matches first: Partnership Act 51, section 51 Partnership Act, section 51 of the Indian Partnership Act. People searching for it also type section 51 of indian partnership act 1932. Each opens the full list of orders on eCourtsIndia, where it can be narrowed by court, year and outcome.

When was Section 51 of the Indian Partnership Act enacted?

Section 51 of the Indian Partnership Act, cited as Partnership Act 51, was enacted on 08 Apr 1932 as Act 9 of 1932. It is in force as at the date shown on this page.

Other sections of this Act

Source and method. Compiled from the enactments of Parliament and of the State legislatures as published on India Code, and republished together with commentary and other original matter under section 52(1)(q)(ii) of the Copyright Act, 1957. Structured, cross-referenced and maintained by eCourtsIndia. Text as in force on 15 Oct 2026. This page is not a substitute for legal advice.