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Agreement Between Partners for the United Kingdom

Agreement Between Partners Template for England and Wales

An Agreement Between Partners is a legally binding document governed by the laws of England and Wales that establishes the terms and conditions of a business partnership. It defines the rights, responsibilities, and obligations of all partners, including profit sharing, decision-making processes, capital contributions, and exit procedures. The agreement is structured in accordance with the Partnership Act 1890 and related legislation, providing a framework for business operations and dispute resolution.

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Agreement Between Partners

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What is a Agreement Between Partners?

The Agreement Between Partners is essential when two or more individuals or entities decide to enter into a business partnership in England and Wales. This document outlines crucial aspects such as profit sharing, management responsibilities, capital contributions, and dispute resolution mechanisms. It provides legal protection for all parties involved and helps prevent future disagreements by clearly defining roles and responsibilities. The agreement should comply with the Partnership Act 1890 and other relevant legislation, making it a fundamental document for any partnership structure.

What sections should be included in a Agreement Between Partners?

1. Parties: Details of all partners entering into the agreement

2. Background: Context and purpose of the partnership

3. Definitions: Key terms used throughout the agreement

4. Partnership Business: Nature and scope of the partnership business

5. Capital Contributions: Initial and ongoing capital requirements

6. Profit and Loss Sharing: Distribution of profits and allocation of losses

7. Management and Decision Making: Governance structure and voting rights

8. Duration and Termination: Term of partnership and exit provisions

What sections are optional to include in a Agreement Between Partners?

1. Intellectual Property Rights: IP ownership and licensing arrangements - include when IP is significant to the business

2. Non-Competition: Restrictions on competing activities - include when partners may have competing interests

3. International Operations: Provisions for cross-border activities - include when partnership operates internationally

What schedules should be included in a Agreement Between Partners?

1. Schedule 1: Capital Contributions: Detailed breakdown of each partner's initial contribution

2. Schedule 2: Business Plan: Initial business plan and strategy

3. Schedule 3: Property Schedule: List of partnership property and assets

4. Appendix A: Partner Contact Details: Contact information for all partners

Authors

Alex Denne

Head of Growth (Open Source Law) @ Ƶ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Jurisdiction

England and Wales

Publisher

Ƶ

Cost

Free to use
Relevant legal definitions






























Clauses






























Industries

Partnership Act 1890: Fundamental legislation governing partnerships in England and Wales that defines partnerships and basic rights/obligations of partners. Contains default provisions that apply unless otherwise agreed.

Limited Partnerships Act 1907: Key legislation applicable if the partnership is to be structured as a limited partnership rather than a general partnership.

Companies Act 2006: Relevant for certain administrative aspects of partnerships and provisions regarding potential future conversion to a company structure.

Equality Act 2010: Legislation governing anti-discrimination provisions that must be considered in partnership agreements and operations.

Data Protection Act 2018 and UK GDPR: Legislation governing the handling and protection of personal data of partners, employees, and other stakeholders.

Partnership (Accounts) Regulations 2008: Regulations specifying the financial reporting requirements for partnerships.

Income Tax Act 2007: Legislation governing the tax treatment of partnership income and related tax obligations.

Value Added Tax Act 1994: Legislation covering VAT registration requirements and compliance for partnerships.

Common Law Fiduciary Duties: Established legal principles regarding partners' fiduciary duties, including duty of good faith and duty of care, as developed through case law.

Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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