A minor admitted to the benefits of a partnership firm is entitled to certain rights and may also have liabilities to third parties for the acts of…

(a) Though a minor cannot be a partner in a firm, he can nonetheless be admitted to the benefits of partnership under Section 30 of the Indian Partnership Act,1932. The following are the Rights and Liabilities (before attaining majority): (1) Rights: (i) A minor partner has a right to his agreed share of the profits and of the firm. (ii) He can have access to, inspect and copy the accounts of the firm. (iii) He can sue the partners for accounts or for payment of his share but only when severing his connection with the firm, and not otherwise. (iv) On attaining majority, he may within6 months elect to become a partner or not to become a partner. If he elects to become a partner, then he is entitled to the share to which he was entitled as a minor. If he does not, then his share is not liable for any acts of the firm after the date of the public notice served to that effect. (2) Liabilities: Before attaining majority: (a) The liability of the minor is confined only to the extent of his share in the profits and the property of the firm. (b) Minor has no personal liability for the debts of the firm incurred during his minority. (c) Minor cannot be declared insolvent, but if the firm is declared insolvent his share in the firm vests in the Official Receiver/Assignee (which means minor can recover his share in the firm on proportionate basis from official receiver/assignee).