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In the absence of a Partnership Deed partnerships are governed by legislation which was passed in the Victorian era, The Partnership Act of 1890. In almost every case this can have potentially disastrous consequences for the partners. The importance of having a well drafted partnership deed which is regularly reviewed at appropriate intervals cannot be understated. Amongst other things, in the absence of a partnership deed the death, retirement, departure or bankruptcy of any of the partners will automatically dissolve the partnership in question. Moreover, any partner can serve notice on the others dissolving the partnership at any time. All of these situations can have disastrous consequences for those involved.

Therefore it is surprising how many professional firms, including accountants and GPs do not have a partnership deed or fail to keep it up to date. Where a medical practice partnership is concerned the dissolution of the partnership, inadvertent or otherwise, can result in the termination of their GMS or PMS contract, despite the fact that this could easily have been avoided.

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For guidance and advice on Corporate & Commercial law, please do not hesitate to contact us on 0800 042 0700 or email

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