Firm Registration Islamabad/Rawalpindi

The registration of partnerships is not compulsory by law. It is optional and
There is no penalty for non-registration. However there are disadvantages for
Not registering. If any dispute arises among the partners or ex-partners they
May not resolve the issue through the civil courts. An unregistered firm cannot
Institute a suit to settle these disagreements. Neither can an unregistered firm
Sue a third party for the enforcement of any rights arising from a contract, e.g.
The recovery of the price of goods supplied. It must be noted however, that a
Third party may file suit against the partnership. Even in this case, the
Partnership cannot mention any monies that may be outstanding to them in
Court. There is no protection to the partners’ liability either. As there is no
Formal documentation stated that they are in partnership, if one decides to
Deny the existence of the partnership, there is not much that can be done
About it legally. Registering during any suit cannot subsequently cure this
Effect. Prior registration is necessary.