South Australian Numbered Acts

PARTNERSHIP (VENTURE CAPITAL FUNDS) AMENDMENT ACT 2005 (NO 15 OF 2005) - SECT 9

9—Amendment of section 5—Power of partner to bind firm

        (1)         Section 5—after "Every partner" insert:

in a partnership other than a firm that is a limited partnership or incorporated limited partnership

        (2)         Section 5—after its present contents as amended by this section (now to be designated as subsection (1)) insert:

        (2)         Every general partner in a limited partnership or incorporated limited partnership is an agent of the firm and of the other general partners for the purpose of the business of the partnership, and the acts of every general partner who does any act for carrying on in the usual way business of the kind carried on by the firm of which the partner is a member, binds the firm and the other general partners, unless—

            (a)         the general partner so acting has in fact no authority to act for the firm in the particular matter; and

            (b)         the person with whom the general partner is dealing either knows that the general partner has no authority, or does not know or believe the general partner to be a general partner.