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Limited Partnerships Act 1907
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[F18VProhibition on acting unless general partner notifiedU.K.
(1)This section applies where—
(a)a person has become a general partner in a limited partnership otherwise than on its registration, and
(b)notice under section 8R of the person having done so has not been given within the period mentioned in subsection (11) of that section.
(2)The general partner may not take part in the management of the partnership business until notice is given under section 8R.
(3)If a general partner contravenes subsection (2) an offence is committed by—
(a)the general partner, and
(b)if the general partner is a legal entity, any of its managing officers who is in default.
(4)But it is a defence for a person charged with an offence under this section to prove that they reasonably believed that notice had been given under section 8R.
(5)A person guilty of an offence under this section is liable on summary conviction—
(a)in England and Wales, to a fine;
(b)in Scotland or Northern Ireland, to a fine not exceeding level 5 on the standard scale and, for continued contravention, a daily default fine not exceeding one-tenth of level 5 on the standard scale.
(6)A managing officer is “in default” for the purposes of this section if they authorise or permit, participate in, or fail to take all reasonable steps to prevent, the contravention.
(7)But a corporate managing officer does not commit an offence as a managing officer in default unless one of its managing officers is in default.
(8)Where any such offence is committed by a corporate managing officer the managing officer in question also commits the offence (subject to subsection (7)).
(9)The only consequence of contravening subsection (2) is the offence provided for by this section (so that, for example, a contravention does not in any way affect the validity of the general partner’s actions).
(10)Nothing in this section shall affect the liability of the general partner for all debts and obligations of the firm.]
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