Leave nothing to chance

For many practitioners, the advantages of working in a partnership are plain to see – it can enhance revenue and potentially boost a practice’s reputation. However, there is of course the possibility that a dispute can occur between partners and this can land each of them with a series of legal issues.

A serious disagreement between partners can have significant consequences for a practitioner, so it is best to try and avoid this situation at all costs. Drawing up a partnership agreement offers legal protection should friction occur. If an agreement is not put together then the partnership will be considered to be a ‘partnership at will’. Governed by the Partnership Act 1890, it states that the only possible way for a partner to be expelled is through the dissolution of the partnership. Further to this,

a partnership at will automatically ends upon the death, or bankruptcy of a partner. Most importantly, a partnership at will can be ended by any partner without giving a reason or notice to any of the other parties. The individual concerns and wishes of those involved are disregarded. This is just one of the many reasons why it is important to have a tailormade partnership agreement drawn up by specialists.