As per section 8 of the Indian Partnership Act, 1932, the partnership may be for a particular adventure or
undertaking [What is called by Act as the ‘Particular Partnership’]. This
provision of Indian Partnership Act, 1932 recognizes the common practice of
establishing such kind of partnership in India.
In such kind of partnership, the
agreement between the partners generally refers the specific adventure or
business. This kind of partnership is also known as 'Joint Venture'.
In the case of Gvprel-Mee (J.V.) vs. Government Of Andhra Pradesh [2005 (5) ALD 450: 2005 (5) ALT 325:
2005 (2) CTLJ 307 AP] the Hon’ble Court observed as under:
In case of such "particular partnership" it has its existence only till the purpose for which said partnership or adventure or undertaking came into being. It gets dissolved the moment the purpose for which the partners joined is accomplished and liabilities of persons joining in a particular partnership for the purpose of particular adventure would only last till such undertaking completes the purpose for which it is formed.
Further in the case of ‘Kottapally Jaggaiah vs Kokumanu Venkatasatyanarayana’ [AIR 1984 AP 149], the Hon’ble Court observed as under:
So a partnership may be limited to purchase and sale
of particular jewels, the working of a particular patent, the working of it in
a particular place, the development of a parcel of land, the exploitation of a
contract of service, or the sowing, cropping, harvesting and sale of a
particular crop. In all such cases as these, the rights and liabilities of the
partners are governed by the same principles as those which apply to ordinary
partnerships, but such rights and liabilities are necessarily less extensive
than those of persons who have entered into less limited contracts. The extent
to which persons can be considered as partners depends entirely on the
agreement into which they have entered and upon their conduct.
Thus the examples of a 'Particular Partnership' may be:
- Purchase and sale of particular jewels,
- The working of a particular patent,
- The development of a parcel of land,
- The
exploitation of a contract of service,
- The sowing, cropping,
harvesting and sale of a particular crop,
- Working on a particular case
and agreeing to share proceeds,
- Buying a particular property,
enjoying the possession jointly and making profit out of the sale, etc.