Umesh Khanna (CEO) 14 October 2012

Ownership of proprietorship firm

Sir ,

My fathers proprietorship firm is in legal cases against his debtors, Due to his age and health he wants to transfer the firm in my name , can he do so while the cases are subjudice ? He wants to do this while he alive as he is expecting a contest of will from his daughter and her children. Whats the best way to secure his amount for his wife and sons family? Can the firm with its assets and liabilities and right to represent the proprietory firm in court of law be transferred?

Thanks & Regards

Umesh

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Advocate Rohit (Advocate) 15 October 2012

Mr. Umesh,

If your father wishes to make you a proprietor of the firm then he need to execute a gift deed whereby he is transferring all the business of the firm alongwith its assets and liabilities in your name.

This way he could make you the proprietor during his lifetime and no one can challange the same.

Further, you would also have to initimate the court about the same by filing an application before the court alongwith the copy of the registered gift deed. so that your father's name could be replaced with yours as a proprietor.

Regards,

Advocate Rohit Dalmia

9324538481

Mumbai

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