General Partnership agreement: shorter form

by Practical Law Corporate

A standard document that provides a short form general partnership agreement designed for a trading or professional partnership in England and Wales. This document establishes a formal framework to govern the relationship between partners, supplementing the default rules under the Partnership Act 1890. It addresses essential operational and governance matters, including the partnership's name, capital contributions, and the ownership of partnership property. The agreement outlines financial arrangements such as the allocation of net profits and losses, the management of capital and current accounts, and rules for partner drawings. It also specifies partner duties, decision-making powers, and matters requiring unanimous consent. Crucially, this document includes procedures for partner exits, covering retirement, death, and expulsion, as well as provisions for the admission of new partners and the continuance of the partnership. It also details the financial calculations for outgoing partners and includes key post-termination restrictive covenants to protect the business.