Section 766 CAMA 2020

Section 766 Companies and Allied Matters Act is about Extent of liability of limited liability partnership. It is under Chapter 4 (Extent and limitation of liability of limited liability partnership and partners) of the Act.

(1) A limited liability partnership is not bound by anything done by a partner in dealing with a person if the—

(a) partner in fact has no authority to act for the limited liability partnership in doing a particular act ; and

(b) person knows that he has no authority, does not know or believe him to be a partner of the limited liability partnership.

(2) A limited liability partnership is liable if a partner of the limited liability partnership is liable to any person as a result of a wrongful act or omission on his part in the course of the business of the limited liability partnership or with its authority.

(3) An obligation of the limited liability partnership whether arising in contract or otherwise, shall be solely the obligation of the limited liability partnership.

(4) The liabilities of a limited liability partnership shall be met out of the property of the limited liability partnership.