FORMAT OF DISSOLUTION DEED
Date
__________________________________________________________ And
___________________________________________________________
WHEREAS
(1) The partners hereto were carrying on the ________________ (nature of firm) in partnership under the terms a partnership deed executed on dated ________ under the name and style of _______________ (name of the firm) with its registered office at _______________ (address of the firm).
(2) On account of personal reasons, the partners by mutual consent have decided to dissolve the partnership on terms & conditions hereinafter appearing.
Now this is agreed as follows:-
(1) That the accounts of the assets and liabilities of the said partnership have been assessed and a final Balance Sheet of the same has been prepared and all the partners have been seen the said accounts & are satisfied about its correctness.
(2) The parties hereto hereby dissolve the partnership subsisting between them under the Deed of Partnership dated on ___________ with effect from dated _______.
(3) After the dissolution, the partners shall not carry out any professional activities in the name of the firm except to realise all the assets and discharge all outside liabilities on dated, except the capital A/c of the partners in the firm.
(4) The partners debit/Credit amount in capital account shall be mutually adjusted in future by each partner.
IN WITNESS WHERE OF the parties have hereunto set their hands the day and year first above written.
WITNESS:
1.
2.
3.
The dissolution of partnership between all the partners is called the “Dissolution of Firm”. [Section 39, Partnership Act.]. Dissolution of firm may take place in the following manner.
A firm may be dissolved with the consent of all the partners [Section 10, Partnership Act], the agreement of Partnership deed vague & doubtful w.e.f. _____________. Dissolution of a firm is the process by which legal existence of the firm comes to an end. The firm continues to exist until its affairs are finally and completely wound up.
