The correct answer is: D. Sec. 18, 1881.
The Indian Partnership Act, 1881 is the principal legislation governing partnerships in India. It defines a partnership as “the relation between persons who have agreed to share the profits of a business carried on by all or any of them acting for all”.
Section 18 of the Act provides that “every partnership is presumed to be a partnership at will, unless a partnership for a fixed term is proved to exist”. This means that, in the absence of any evidence to the contrary, a partnership is presumed to be a partnership that can be terminated by any partner at any time.
Section 18 also provides that “every partner is an agent of the firm and of the other partners for the purpose of the business of the partnership”. This means that, in the absence of any agreement to the contrary, each partner is authorized to act on behalf of the partnership and to bind the other partners to contracts entered into in the course of the partnership business.
The Indian Partnership Act, 1881 is a comprehensive piece of legislation that provides a framework for the regulation of partnerships in India. It is a valuable resource for anyone involved in a partnership, whether as a partner or as a third party dealing with a partnership.
The other options are incorrect because they do not refer to the Indian Partnership Act, 1881.