According to section 1(1) of the Partnership Act 1890 (“PA”), a Partnership is defined as a relationship between persons carrying on a business with a view of profit.

Therefore, so long as two or more individuals come together to do business with the intention of generating profit, they are deemed under the PA to be a partnership.

A registered partnership is one where the partners register with the registrar, i.e., ACRA. There will be a partnership name and a list of the partners in the partnership. A UEN will be issued.

Section 25 of the PA states how a partner can be removed or expelled from the partnership. There has to be an express agreement between all the partners as to the expulsion of a partner. Even if a majority of partners decide to expel one of the partners, they cannot do so. All partners need to have an express agreement to expel a partner.

This is in line with the information on ACRA’s website: https://www.acra.gov.sg/how-to-guides/updating-information-of-limited-partnerships/changes-in-business-information-and-appointments-cessation-of-partners-or-managers-for-limited-partnerships

To remove a partner, the applicant will have to seek endorsement from all the other partners. Alternatively, they can seek a corporate service provider‘s (CSP) assistance to make the filings without the need for all partners to endorse. However, the CSP would require proof that an express agreement was in place to remove that particular partner.

 

If you are looking for advice or assistance on partnerships, do contact us via email at [email protected].

 

When in doubt, seek legal advice or consult an experienced ACRA Filing Agent.

Yours Sincerely,
The editorial team at Singapore Secretary Services

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