Whether Mr. A and Mr. B can be appointed as designated partners in EDUDED LLP?
CA Foundation · Business Laws · PYQS · September 2025
Whether Mr. A and Mr. B can be appointed as designated partners in EDUDED LLP?
Suggested Answer and Working Notes:
Designated Partners (Section 7 of the Limited Liability Partnership Act,2008): Every LLP shall have at least two designated partners who are individuals and at least one of them shall be a Resident in India. For the purpose of this section, the term Resident in India means a person who has stayed in India for a period of not less than120 days during the financial year. As EDUDED LLP cannot be formed because its purpose is for non-profit organization, the question of appointing Mr. A and Mr. B as designated partners does not arise. Note: However, if the EDUDED LLP can be formed, Mr. A and Mr. B cannot be appointed as designated partners in EDUDED LLP as both are Non-Resident and the condition that at least one designated partner must be a resident in India is not fulfilled. Therefore, one designated partner must be either Ms. C or Ms. D or Ms. E as all three of them are resident.
Topics: The Limited Liability Partnership Act, 2008
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