Q: Harish is receiving profit from the business but he has not made a partnership contract? Is he a partner ?
Ans: No ,Harish is a partner according to section 5 of partnership act, 1932 which says that partnership is not created by status but by agreement. In case of Cox V. Hickman, it is clearly mentioned that if a person is a partner, he must be entitled to receive the share of profit of the firm but every person who receives profit is not necessarily a partner.
According to section 4 of partnership act, partnership is between or among persons who have agreed to share profits between or among them but section 6 of partnership act mentions about the mode of determining the partnership and according to it , only the mere sharing of profit is not only the mode of determining partnership.
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