State the circumstances in which the winding up of an LLP may be ordered by the Tribunal.
CA Intermediate · Corporate and Other Laws · MTP · September 2026
State the circumstances in which the winding up of an LLP may be ordered by the Tribunal.
Suggested Answer and Working Notes:
Circumstances for Winding Up of an LLP by the Tribunal (Section 64 of the LLP Act, 2008): Under Section 64 of the LLP Act, 2008, an LLP may be wound up by the Tribunal if: the LLP itself decides that it should be wound up by the Tribunal; the number of partners is reduced below two for a period of more than six months; the LLP is unable to pay its debts (read, since the Insolvency and Bankruptcy Code, 2016, together with the applicable IBC provisions and rules governing LLP insolvency); the LLP has acted against the interests of the sovereignty and integrity of India, the security of the State, or public order; the LLP has defaulted in filing its Statement of Account and Solvency, or annual return, with the Registrar for five consecutive financial years; or the Tribunal is of the opinion that it is just and equitable that the LLP be wound up.
Topics: The Limited Liability Partnership Act, 2008
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