Corporate Law
Expulsion of a Partner from a General Partnership under Jordanian Companies Law
A practical summary of the rules and procedures for removing a partner from a general partnership under Jordanian law, outlining legal grounds, judicial procedures and practical effects on trade name, register and partnership agreement. The study refers to relevant Court of Cassation decisions.
Companies and partners
Corporate Law
Updated: 26 January 2025
Editorial summary linked to the identified external source; it is not the original source text.
Smart reading summary
Understand and share the study quickly
A practical summary of the rules and procedures for removing a partner from a general partnership under Jordanian law, outlining legal grounds, judicial procedures and practical effects on trade name, register and partnership agreement. The study refers to relevant Court of Cassation decisions.
Key points
- Nature of the General Partnership and the Partner's Legal Position
- Prohibited Acts by a Partner and Their Relevance to Expulsion
- Legal Procedure and Grounds for Removing a Partner
Useful for: Useful for initial reading and identifying questions that may need legal review.
This automatic summary is based on the published text. It is not legal advice and does not replace checking official sources and reviewing the facts with a qualified lawyer.
AI generation is optional and subject to Gemini usage limits. Do not send client data or attachments from this card.
Nature of the General Partnership and the Partner's Legal Position
A general partnership acquires legal personality upon registration and is owned by two or more natural persons. Each partner is treated as a trader, contributes to the trade name and is jointly liable with other partners toward creditors beyond his capital share; the partnership agreement sets out each partner's rights, duties and profit/loss shares or, if unspecified, these follow capital contributions.
Prohibited Acts by a Partner and Their Relevance to Expulsion
A partner is prohibited from committing obligations in the company's name or for purposes of the company for personal benefit, from conducting competing activities, or from managing a similar enterprise without partners' consent. Such conduct may constitute a material breach of the partnership agreement or competition that justifies seeking the partner's removal by court under the Companies Law.
Legal Procedure and Grounds for Removing a Partner
No partner may be expelled from a general partnership except by judicial decision at the request of another partner, pursuant to Article 23. Statutory grounds for dissolution or expulsion include persistent material breach of the partnership agreement, disputes rendering continuation impracticable, or permanent incapacity of a partner. The court may either dissolve the partnership or order continuation with the expulsion of one or more partners if that better serves the company's and remaining partners’ interests.
Practical Effects of Expulsion and Procedural Consequences
Expulsion entails updating the commercial register and, if the trade name included the expelled partner, amending the trade name—unless the name has acquired commercial goodwill and retention is authorized by the Companies Controller and, where applicable, heirs. The partnership's status after expulsion must be clarified, possibly requiring amendment of the partnership agreement or confirmation of its continuance with adjusted partner shares and procedures for settlement with creditors.
Representative Court of Cassation Decisions and Practical Lessons
The cited Court of Cassation rulings provide practical examples where courts ordered expulsion after finding that a partner harmed the company, competed with it, or diverted company resources for personal projects. Notable decisions include Judgment No. 2864/2012, which ordered expulsion and awarded damages (with the cassation appeal dismissed on procedural grounds), and Judgment No. 90/2022, which affirmed expulsion after evidence showed use of company labor and equipment for personal contracts. Practical takeaways include the need to document evidence, frame the claim properly and observe procedural requirements to avoid procedural dismissal of appeals.
Legal notice
Notice: This content is for general educational purposes only and is derived from the original article linked on the page. It does not constitute legal advice. Verify the current text of the Jordanian Companies Law, any amendments, implementing regulations and relevant deadlines by consulting official sources, and seek advice from a licensed Jordanian lawyer before taking any action.
Frequently asked questions
Nature of the General Partnership and the Partner's Legal Position?
A general partnership acquires legal personality upon registration and is owned by two or more natural persons. Each partner is treated as a trader, contributes to the trade name and is jointly liable with other partners toward creditors beyond his capital share; the partnership agreement sets out each partner's rights, duties and profit/loss shares or, if unspecified, these follow capital contributions.
Prohibited Acts by a Partner and Their Relevance to Expulsion?
A partner is prohibited from committing obligations in the company's name or for purposes of the company for personal benefit, from conducting competing activities, or from managing a similar enterprise without partners' consent. Such conduct may constitute a material breach of the partnership agreement or competition that justifies seeking the partner's removal by court under the Companies Law.
Legal Procedure and Grounds for Removing a Partner?
No partner may be expelled from a general partnership except by judicial decision at the request of another partner, pursuant to Article 23. Statutory grounds for dissolution or expulsion include persistent material breach of the partnership agreement, disputes rendering continuation impracticable, or permanent incapacity of a partner. The court may either dissolve the partnership or order continuation with the expulsion of one or more partners if that better serves the company's and remaining partners’ interests.
Sources and references
Verify the official text and latest amendments before relying on this material professionally.
Study collection
Companies, contracts, and investment
Browse the other studies in this subject through its dedicated topical section.
Open study collectionA related service path
Corporate, governance, and investment advice
If this study is close to your matter, review the service scope and contact the firm to discuss the facts and documents.
Review the related serviceRelated Jordanian-law guides
Contextual links to related public guide routes; they remain limited to Jordanian law and do not replace matter review.