Section 3 of IPA : Section 3: Application Of Provisions Of Act 9 Of 1872

Explanation using Example

Imagine that Rahul and Priya decide to start a business together selling handmade crafts. They form a partnership but are not sure about all the legalities involved. They know about the Partnership Act, but are unsure if other laws apply to their partnership as well. This is where Section 3 of the Indian Partnership Act, 1932 comes into play. It states that the provisions of the Indian Contract Act, 1872, which are not in conflict with the Partnership Act, still apply to their partnership. So, if they have a dispute about the interpretation of their partnership agreement, they might find that the principles of the Indian Contract Act could help resolve it, provided those principles don't contradict anything in the Partnership Act.