The First Schedule of the LLP Act states the following provisions:

i. All partners of a LLP are entitled to share equally in the capital, profit and/or losses of the LLP.

ii. The LLP shall indemnify each partner with respect to payments made and personal liabilities incurred by him:

a) During the ordinary and proper conduct of the LLP business or

b) During a necessary act to preserve the business property of the LLP.

iii. Every partner may take part in the management of the LLP.

iv No person may be introduced as a partner without the consent of all the existing partners.

v. No change may be made in the nature of business of the LLP without the consent of all the partners.

vi. Every LLP shall ensure that decisions taken by it are recorded in the minutes within 30 days of taking such decisions and are kept and maintained at the registered office of the LLP.

vii. Each partner shall render true accounts and full information to any partner or his/her legal representatives, regarding any or all things affecting the LLP.

viii No majority of partners can expel any partner unless a power to do so has been conferred by an express agreement between the partners.

ix All disputes between the parties arising out of the LLP Agreement which cannot be resolved in terms of such agreement shall be referred to for arbitration as per the provisions of the Arbitration and Conciliation Act, 1996.

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