Business Laws and Business Correspondence & Reporting (Paper-2) - December 2023 | Mock Tests & Past Year Papers for CA Foundation PDF Download

 Page 1


 
 
PAPER – 2: BUSINESS LAWS AND BUSINESS CORRESPONDENCE AND REPORTING 
SECTION A: BUSINESS LAWS 
Amendments for Paper 2A: Business Laws, Foundation November 2023 examinations 
1. Chapter 4: The Limited Liability Act, 2008 
The Limited Liability Act, 2008 has been amended through the Limited Liability 
Partnership (Amendment) Act, 2021 dated 13
th
 August, 2021. The following are the 
amendments w.e.f. 1
st
 April, 2022. 
Earlier provision New provision 
- Throughout the Limited Liability Partnership 
Act, 2008, for the words and figures “the 
Companies Act, 1956” wherever they occur, 
the words and figures “the Companies Act, 
2013” shall be substituted. 
Body Corporate [(Section 2(d)]: It means 
a company as defined in section 3 of the 
Companies Act, 1956 and includes—  
(i) a LLP registered under this Act;  
(ii) a LLP incorporated outside India; and  
(iii) a company incorporated outside 
India,  
but does not include—  
(i) a corporation sole;  
(ii) a co-operative society registered 
under any law for the time being in 
force; and  
(iii) any other body corporate (not being a 
company as defined in section 3 of 
the Companies Act, 1956 or a limited 
liability partnership as defined in this 
Act), which the Central Government 
may, by notification in the Official 
Gazette, specify in this behalf. 
Body Corporate [(Section 2(d)]: It means a 
company as defined in clause (20) of section 
2 of the Companies Act, 2013 and includes 
(i)  a limited liability partnership registered 
under this Act; 
(ii)  a limited liability partnership incorporated 
outside India; and 
(iii)  a company incorporated outside India, 
but does not include 
(i)  a corporation sole; 
(ii)  a co-operative society registered under 
any law for the time being in force; and 
(iii)  any other body corporate (not being a 
company as defined in clause (20) of 
section 2 of the Companies Act, 2013 
or a limited liability partnership as 
defined in this Act), which the Central 
Government may, by notification in the 
Official Gazette, specify in this behalf. 
Business [Section 2(e)]: “Business” 
includes every trade, profession, service 
and occupation. 
Business [Section 2(e)]: “Business” includes 
every trade, profession, service and 
occupation except any activity which the 
Central Government may, by notification, 
exclude. 
Page 2


 
 
PAPER – 2: BUSINESS LAWS AND BUSINESS CORRESPONDENCE AND REPORTING 
SECTION A: BUSINESS LAWS 
Amendments for Paper 2A: Business Laws, Foundation November 2023 examinations 
1. Chapter 4: The Limited Liability Act, 2008 
The Limited Liability Act, 2008 has been amended through the Limited Liability 
Partnership (Amendment) Act, 2021 dated 13
th
 August, 2021. The following are the 
amendments w.e.f. 1
st
 April, 2022. 
Earlier provision New provision 
- Throughout the Limited Liability Partnership 
Act, 2008, for the words and figures “the 
Companies Act, 1956” wherever they occur, 
the words and figures “the Companies Act, 
2013” shall be substituted. 
Body Corporate [(Section 2(d)]: It means 
a company as defined in section 3 of the 
Companies Act, 1956 and includes—  
(i) a LLP registered under this Act;  
(ii) a LLP incorporated outside India; and  
(iii) a company incorporated outside 
India,  
but does not include—  
(i) a corporation sole;  
(ii) a co-operative society registered 
under any law for the time being in 
force; and  
(iii) any other body corporate (not being a 
company as defined in section 3 of 
the Companies Act, 1956 or a limited 
liability partnership as defined in this 
Act), which the Central Government 
may, by notification in the Official 
Gazette, specify in this behalf. 
Body Corporate [(Section 2(d)]: It means a 
company as defined in clause (20) of section 
2 of the Companies Act, 2013 and includes 
(i)  a limited liability partnership registered 
under this Act; 
(ii)  a limited liability partnership incorporated 
outside India; and 
(iii)  a company incorporated outside India, 
but does not include 
(i)  a corporation sole; 
(ii)  a co-operative society registered under 
any law for the time being in force; and 
(iii)  any other body corporate (not being a 
company as defined in clause (20) of 
section 2 of the Companies Act, 2013 
or a limited liability partnership as 
defined in this Act), which the Central 
Government may, by notification in the 
Official Gazette, specify in this behalf. 
Business [Section 2(e)]: “Business” 
includes every trade, profession, service 
and occupation. 
Business [Section 2(e)]: “Business” includes 
every trade, profession, service and 
occupation except any activity which the 
Central Government may, by notification, 
exclude. 
2 FOUNDATION EXAMINATION: DECEMBER, 2023 
 
Newly inserted “Small limited liability partnership [Section 
2(ta)]: It means a limited liability 
partnership— 
(i)  the contribution of which, does not 
exceed twenty-five lakh rupees or 
such higher amount, not exceeding 
five crore rupees, as may be 
prescribed; and 
(ii)  the turnover of which, as per the 
Statement of Accounts and Solvency 
for the immediately preceding 
financial year, does not exceed forty 
lakh rupees or such higher amount, 
not exceeding fifty crore rupees, as 
may be prescribed; or 
(iii)  which meets such other requirements 
as may be prescribed, and fulfils such 
terms and conditions as may be 
prescribed; 
Designated partners (Section 7):  
(i) Every LLP shall have at least two 
designated partners who are 
individuals and at least one of them 
shall be a resident in India. 
(ii) If in LLP, all the partners are bodies 
corporate or in which one or more 
partners are individuals and bodies 
corporate, at least two individuals 
who are partners of such LLP or 
nominees of such bodies corporate 
shall act as designated partners.  
(iii) Resident in India: For the purposes of 
this section, the term “resident in 
India” means a person who has 
stayed in India for a period of not less 
than 182 days during the immediately 
preceding one year.  
 
Designated partners (Section 7) 
(1)  Every limited liability partnership shall 
have at least two designated partners 
who are individuals and at least one of 
them shall be a resident in India: 
 Provided that in case of a limited liability 
partnership in which all the partners are 
bodies corporate or in which one or more 
partners are individuals and bodies 
corporate, at least two individuals who 
are partners of such limited liability 
partnership or nominees of such bodies 
corporate shall act as designated 
partners. 
 Explanation. For the purposes of this 
section, the term resident in India means 
a person who has stayed in India for a 
period of not less than one hundred and 
twenty days during the financial year. 
(2)  Subject to the provisions of sub-section 
(1), 
(i)  if the incorporation document 
Page 3


 
 
PAPER – 2: BUSINESS LAWS AND BUSINESS CORRESPONDENCE AND REPORTING 
SECTION A: BUSINESS LAWS 
Amendments for Paper 2A: Business Laws, Foundation November 2023 examinations 
1. Chapter 4: The Limited Liability Act, 2008 
The Limited Liability Act, 2008 has been amended through the Limited Liability 
Partnership (Amendment) Act, 2021 dated 13
th
 August, 2021. The following are the 
amendments w.e.f. 1
st
 April, 2022. 
Earlier provision New provision 
- Throughout the Limited Liability Partnership 
Act, 2008, for the words and figures “the 
Companies Act, 1956” wherever they occur, 
the words and figures “the Companies Act, 
2013” shall be substituted. 
Body Corporate [(Section 2(d)]: It means 
a company as defined in section 3 of the 
Companies Act, 1956 and includes—  
(i) a LLP registered under this Act;  
(ii) a LLP incorporated outside India; and  
(iii) a company incorporated outside 
India,  
but does not include—  
(i) a corporation sole;  
(ii) a co-operative society registered 
under any law for the time being in 
force; and  
(iii) any other body corporate (not being a 
company as defined in section 3 of 
the Companies Act, 1956 or a limited 
liability partnership as defined in this 
Act), which the Central Government 
may, by notification in the Official 
Gazette, specify in this behalf. 
Body Corporate [(Section 2(d)]: It means a 
company as defined in clause (20) of section 
2 of the Companies Act, 2013 and includes 
(i)  a limited liability partnership registered 
under this Act; 
(ii)  a limited liability partnership incorporated 
outside India; and 
(iii)  a company incorporated outside India, 
but does not include 
(i)  a corporation sole; 
(ii)  a co-operative society registered under 
any law for the time being in force; and 
(iii)  any other body corporate (not being a 
company as defined in clause (20) of 
section 2 of the Companies Act, 2013 
or a limited liability partnership as 
defined in this Act), which the Central 
Government may, by notification in the 
Official Gazette, specify in this behalf. 
Business [Section 2(e)]: “Business” 
includes every trade, profession, service 
and occupation. 
Business [Section 2(e)]: “Business” includes 
every trade, profession, service and 
occupation except any activity which the 
Central Government may, by notification, 
exclude. 
2 FOUNDATION EXAMINATION: DECEMBER, 2023 
 
Newly inserted “Small limited liability partnership [Section 
2(ta)]: It means a limited liability 
partnership— 
(i)  the contribution of which, does not 
exceed twenty-five lakh rupees or 
such higher amount, not exceeding 
five crore rupees, as may be 
prescribed; and 
(ii)  the turnover of which, as per the 
Statement of Accounts and Solvency 
for the immediately preceding 
financial year, does not exceed forty 
lakh rupees or such higher amount, 
not exceeding fifty crore rupees, as 
may be prescribed; or 
(iii)  which meets such other requirements 
as may be prescribed, and fulfils such 
terms and conditions as may be 
prescribed; 
Designated partners (Section 7):  
(i) Every LLP shall have at least two 
designated partners who are 
individuals and at least one of them 
shall be a resident in India. 
(ii) If in LLP, all the partners are bodies 
corporate or in which one or more 
partners are individuals and bodies 
corporate, at least two individuals 
who are partners of such LLP or 
nominees of such bodies corporate 
shall act as designated partners.  
(iii) Resident in India: For the purposes of 
this section, the term “resident in 
India” means a person who has 
stayed in India for a period of not less 
than 182 days during the immediately 
preceding one year.  
 
Designated partners (Section 7) 
(1)  Every limited liability partnership shall 
have at least two designated partners 
who are individuals and at least one of 
them shall be a resident in India: 
 Provided that in case of a limited liability 
partnership in which all the partners are 
bodies corporate or in which one or more 
partners are individuals and bodies 
corporate, at least two individuals who 
are partners of such limited liability 
partnership or nominees of such bodies 
corporate shall act as designated 
partners. 
 Explanation. For the purposes of this 
section, the term resident in India means 
a person who has stayed in India for a 
period of not less than one hundred and 
twenty days during the financial year. 
(2)  Subject to the provisions of sub-section 
(1), 
(i)  if the incorporation document 
 PAPER – 2 : BUSINESS LAWS & BUSINESS CORRESPONDENCE AND REPORTING 3 
 
(a)  specifies who are to be 
designated partners, such 
persons shall be designated 
partners on incorporation; or 
(b)  states that each of the 
partners from time to time of 
limited liability partnership is to 
be designated partner, every 
partner shall be a designated 
partner; 
(ii)  any partner may become a 
designated partner by and in 
accordance with the limited liability 
partnership agreement and a 
partner may cease to be a 
designated partner in accordance 
with limited liability partnership 
agreement. 
(3)  An individual shall not become a 
designated partner in any limited liability 
partnership unless he has given his prior 
consent to act as such to the limited 
liability partnership in such form and 
manner as may be prescribed. 
(4)  Every limited liability partnership shall file 
with the Registrar the particulars of every 
individual who has given his consent to 
act as designated partner in such form 
and manner as may be prescribed within 
thirty days of his appointment. 
(5)  An individual eligible to be a designated 
partner shall satisfy such conditions and 
requirements as may be prescribed. 
(6)  Every designated partner of a limited 
liability partnership shall obtain a 
Designated Partners Identification 
Number (DPIN) from the Central 
Government and the provisions of 
sections 153 to 159 (both inclusive) of 
the Companies Act, 2013 shall apply 
mutatis mutandis for the said purpose. 
Page 4


 
 
PAPER – 2: BUSINESS LAWS AND BUSINESS CORRESPONDENCE AND REPORTING 
SECTION A: BUSINESS LAWS 
Amendments for Paper 2A: Business Laws, Foundation November 2023 examinations 
1. Chapter 4: The Limited Liability Act, 2008 
The Limited Liability Act, 2008 has been amended through the Limited Liability 
Partnership (Amendment) Act, 2021 dated 13
th
 August, 2021. The following are the 
amendments w.e.f. 1
st
 April, 2022. 
Earlier provision New provision 
- Throughout the Limited Liability Partnership 
Act, 2008, for the words and figures “the 
Companies Act, 1956” wherever they occur, 
the words and figures “the Companies Act, 
2013” shall be substituted. 
Body Corporate [(Section 2(d)]: It means 
a company as defined in section 3 of the 
Companies Act, 1956 and includes—  
(i) a LLP registered under this Act;  
(ii) a LLP incorporated outside India; and  
(iii) a company incorporated outside 
India,  
but does not include—  
(i) a corporation sole;  
(ii) a co-operative society registered 
under any law for the time being in 
force; and  
(iii) any other body corporate (not being a 
company as defined in section 3 of 
the Companies Act, 1956 or a limited 
liability partnership as defined in this 
Act), which the Central Government 
may, by notification in the Official 
Gazette, specify in this behalf. 
Body Corporate [(Section 2(d)]: It means a 
company as defined in clause (20) of section 
2 of the Companies Act, 2013 and includes 
(i)  a limited liability partnership registered 
under this Act; 
(ii)  a limited liability partnership incorporated 
outside India; and 
(iii)  a company incorporated outside India, 
but does not include 
(i)  a corporation sole; 
(ii)  a co-operative society registered under 
any law for the time being in force; and 
(iii)  any other body corporate (not being a 
company as defined in clause (20) of 
section 2 of the Companies Act, 2013 
or a limited liability partnership as 
defined in this Act), which the Central 
Government may, by notification in the 
Official Gazette, specify in this behalf. 
Business [Section 2(e)]: “Business” 
includes every trade, profession, service 
and occupation. 
Business [Section 2(e)]: “Business” includes 
every trade, profession, service and 
occupation except any activity which the 
Central Government may, by notification, 
exclude. 
2 FOUNDATION EXAMINATION: DECEMBER, 2023 
 
Newly inserted “Small limited liability partnership [Section 
2(ta)]: It means a limited liability 
partnership— 
(i)  the contribution of which, does not 
exceed twenty-five lakh rupees or 
such higher amount, not exceeding 
five crore rupees, as may be 
prescribed; and 
(ii)  the turnover of which, as per the 
Statement of Accounts and Solvency 
for the immediately preceding 
financial year, does not exceed forty 
lakh rupees or such higher amount, 
not exceeding fifty crore rupees, as 
may be prescribed; or 
(iii)  which meets such other requirements 
as may be prescribed, and fulfils such 
terms and conditions as may be 
prescribed; 
Designated partners (Section 7):  
(i) Every LLP shall have at least two 
designated partners who are 
individuals and at least one of them 
shall be a resident in India. 
(ii) If in LLP, all the partners are bodies 
corporate or in which one or more 
partners are individuals and bodies 
corporate, at least two individuals 
who are partners of such LLP or 
nominees of such bodies corporate 
shall act as designated partners.  
(iii) Resident in India: For the purposes of 
this section, the term “resident in 
India” means a person who has 
stayed in India for a period of not less 
than 182 days during the immediately 
preceding one year.  
 
Designated partners (Section 7) 
(1)  Every limited liability partnership shall 
have at least two designated partners 
who are individuals and at least one of 
them shall be a resident in India: 
 Provided that in case of a limited liability 
partnership in which all the partners are 
bodies corporate or in which one or more 
partners are individuals and bodies 
corporate, at least two individuals who 
are partners of such limited liability 
partnership or nominees of such bodies 
corporate shall act as designated 
partners. 
 Explanation. For the purposes of this 
section, the term resident in India means 
a person who has stayed in India for a 
period of not less than one hundred and 
twenty days during the financial year. 
(2)  Subject to the provisions of sub-section 
(1), 
(i)  if the incorporation document 
 PAPER – 2 : BUSINESS LAWS & BUSINESS CORRESPONDENCE AND REPORTING 3 
 
(a)  specifies who are to be 
designated partners, such 
persons shall be designated 
partners on incorporation; or 
(b)  states that each of the 
partners from time to time of 
limited liability partnership is to 
be designated partner, every 
partner shall be a designated 
partner; 
(ii)  any partner may become a 
designated partner by and in 
accordance with the limited liability 
partnership agreement and a 
partner may cease to be a 
designated partner in accordance 
with limited liability partnership 
agreement. 
(3)  An individual shall not become a 
designated partner in any limited liability 
partnership unless he has given his prior 
consent to act as such to the limited 
liability partnership in such form and 
manner as may be prescribed. 
(4)  Every limited liability partnership shall file 
with the Registrar the particulars of every 
individual who has given his consent to 
act as designated partner in such form 
and manner as may be prescribed within 
thirty days of his appointment. 
(5)  An individual eligible to be a designated 
partner shall satisfy such conditions and 
requirements as may be prescribed. 
(6)  Every designated partner of a limited 
liability partnership shall obtain a 
Designated Partners Identification 
Number (DPIN) from the Central 
Government and the provisions of 
sections 153 to 159 (both inclusive) of 
the Companies Act, 2013 shall apply 
mutatis mutandis for the said purpose. 
4 FOUNDATION EXAMINATION: DECEMBER, 2023 
 
Registered office of LLP and change 
therein (Section 13):  
(1) Every LLP shall have a registered 
office to which all communications 
and notices may be addressed and 
where they shall be received. 
(2) A document may be served on a LLP 
or a partner or designated partner 
thereof by sending it by post under a 
certificate of posting or by registered 
post or by any other manner, as may 
be prescribed, at the registered office 
and any other address specifically 
declared by the LLP for the purpose 
in such form and manner as may be 
prescribed.  
(3) A LLP may change the place of its 
registered office and file the notice of 
such change with the Registrar in 
such form and manner and subject to 
such conditions as may be prescribed 
and any such change shall take effect 
only upon such filing.  
(4) If the LLP contravenes any provisions 
of this section, the LLP and its every 
partner shall be punishable with fine 
which shall not be less than ` 2,000 
but which may extend to ` 25,000. 
 
Registered office of LLP and change 
therein (Section 13):  
(1)  Every limited liability partnership shall 
have a registered office to which all 
communications and notices may be 
addressed and where they shall be 
received. 
(2)  A document may be served on a limited 
liability partnership or a partner or 
designated partner thereof by sending it 
by post under a certificate of posting or 
by registered post or by any other 
manner, as may be prescribed, at the 
registered office and any other address 
specifically declared by the limited 
liability partnership for the purpose in 
such form and manner as may be 
prescribed. 
(3)  A limited liability partnership may change 
the place of its registered office and file 
the notice of such change with the 
Registrar in such form and manner and 
subject to such conditions as may be 
prescribed and any such change shall 
take effect only upon such filing. 
(4)  If any default is made in complying 
with the requirements of this section, 
the limited liability partnership and its 
every partner shall be liable to a 
penalty of five hundred rupees for 
each day during which the default 
continues, subject to a maximum of 
fifty thousand rupees for the limited 
liability partnership and its every 
partner. 
Name (Section 15): 
(1) Every limited liability partnership shall 
have either the words “limited liability 
partnership” or the acronym “LLP” as 
the last words of its name. 
Name (Section 15): 
(1)  Every limited liability partnership shall 
have either the words limited liability 
partnership or the acronym LLP as the 
last words of its name. 
Page 5


 
 
PAPER – 2: BUSINESS LAWS AND BUSINESS CORRESPONDENCE AND REPORTING 
SECTION A: BUSINESS LAWS 
Amendments for Paper 2A: Business Laws, Foundation November 2023 examinations 
1. Chapter 4: The Limited Liability Act, 2008 
The Limited Liability Act, 2008 has been amended through the Limited Liability 
Partnership (Amendment) Act, 2021 dated 13
th
 August, 2021. The following are the 
amendments w.e.f. 1
st
 April, 2022. 
Earlier provision New provision 
- Throughout the Limited Liability Partnership 
Act, 2008, for the words and figures “the 
Companies Act, 1956” wherever they occur, 
the words and figures “the Companies Act, 
2013” shall be substituted. 
Body Corporate [(Section 2(d)]: It means 
a company as defined in section 3 of the 
Companies Act, 1956 and includes—  
(i) a LLP registered under this Act;  
(ii) a LLP incorporated outside India; and  
(iii) a company incorporated outside 
India,  
but does not include—  
(i) a corporation sole;  
(ii) a co-operative society registered 
under any law for the time being in 
force; and  
(iii) any other body corporate (not being a 
company as defined in section 3 of 
the Companies Act, 1956 or a limited 
liability partnership as defined in this 
Act), which the Central Government 
may, by notification in the Official 
Gazette, specify in this behalf. 
Body Corporate [(Section 2(d)]: It means a 
company as defined in clause (20) of section 
2 of the Companies Act, 2013 and includes 
(i)  a limited liability partnership registered 
under this Act; 
(ii)  a limited liability partnership incorporated 
outside India; and 
(iii)  a company incorporated outside India, 
but does not include 
(i)  a corporation sole; 
(ii)  a co-operative society registered under 
any law for the time being in force; and 
(iii)  any other body corporate (not being a 
company as defined in clause (20) of 
section 2 of the Companies Act, 2013 
or a limited liability partnership as 
defined in this Act), which the Central 
Government may, by notification in the 
Official Gazette, specify in this behalf. 
Business [Section 2(e)]: “Business” 
includes every trade, profession, service 
and occupation. 
Business [Section 2(e)]: “Business” includes 
every trade, profession, service and 
occupation except any activity which the 
Central Government may, by notification, 
exclude. 
2 FOUNDATION EXAMINATION: DECEMBER, 2023 
 
Newly inserted “Small limited liability partnership [Section 
2(ta)]: It means a limited liability 
partnership— 
(i)  the contribution of which, does not 
exceed twenty-five lakh rupees or 
such higher amount, not exceeding 
five crore rupees, as may be 
prescribed; and 
(ii)  the turnover of which, as per the 
Statement of Accounts and Solvency 
for the immediately preceding 
financial year, does not exceed forty 
lakh rupees or such higher amount, 
not exceeding fifty crore rupees, as 
may be prescribed; or 
(iii)  which meets such other requirements 
as may be prescribed, and fulfils such 
terms and conditions as may be 
prescribed; 
Designated partners (Section 7):  
(i) Every LLP shall have at least two 
designated partners who are 
individuals and at least one of them 
shall be a resident in India. 
(ii) If in LLP, all the partners are bodies 
corporate or in which one or more 
partners are individuals and bodies 
corporate, at least two individuals 
who are partners of such LLP or 
nominees of such bodies corporate 
shall act as designated partners.  
(iii) Resident in India: For the purposes of 
this section, the term “resident in 
India” means a person who has 
stayed in India for a period of not less 
than 182 days during the immediately 
preceding one year.  
 
Designated partners (Section 7) 
(1)  Every limited liability partnership shall 
have at least two designated partners 
who are individuals and at least one of 
them shall be a resident in India: 
 Provided that in case of a limited liability 
partnership in which all the partners are 
bodies corporate or in which one or more 
partners are individuals and bodies 
corporate, at least two individuals who 
are partners of such limited liability 
partnership or nominees of such bodies 
corporate shall act as designated 
partners. 
 Explanation. For the purposes of this 
section, the term resident in India means 
a person who has stayed in India for a 
period of not less than one hundred and 
twenty days during the financial year. 
(2)  Subject to the provisions of sub-section 
(1), 
(i)  if the incorporation document 
 PAPER – 2 : BUSINESS LAWS & BUSINESS CORRESPONDENCE AND REPORTING 3 
 
(a)  specifies who are to be 
designated partners, such 
persons shall be designated 
partners on incorporation; or 
(b)  states that each of the 
partners from time to time of 
limited liability partnership is to 
be designated partner, every 
partner shall be a designated 
partner; 
(ii)  any partner may become a 
designated partner by and in 
accordance with the limited liability 
partnership agreement and a 
partner may cease to be a 
designated partner in accordance 
with limited liability partnership 
agreement. 
(3)  An individual shall not become a 
designated partner in any limited liability 
partnership unless he has given his prior 
consent to act as such to the limited 
liability partnership in such form and 
manner as may be prescribed. 
(4)  Every limited liability partnership shall file 
with the Registrar the particulars of every 
individual who has given his consent to 
act as designated partner in such form 
and manner as may be prescribed within 
thirty days of his appointment. 
(5)  An individual eligible to be a designated 
partner shall satisfy such conditions and 
requirements as may be prescribed. 
(6)  Every designated partner of a limited 
liability partnership shall obtain a 
Designated Partners Identification 
Number (DPIN) from the Central 
Government and the provisions of 
sections 153 to 159 (both inclusive) of 
the Companies Act, 2013 shall apply 
mutatis mutandis for the said purpose. 
4 FOUNDATION EXAMINATION: DECEMBER, 2023 
 
Registered office of LLP and change 
therein (Section 13):  
(1) Every LLP shall have a registered 
office to which all communications 
and notices may be addressed and 
where they shall be received. 
(2) A document may be served on a LLP 
or a partner or designated partner 
thereof by sending it by post under a 
certificate of posting or by registered 
post or by any other manner, as may 
be prescribed, at the registered office 
and any other address specifically 
declared by the LLP for the purpose 
in such form and manner as may be 
prescribed.  
(3) A LLP may change the place of its 
registered office and file the notice of 
such change with the Registrar in 
such form and manner and subject to 
such conditions as may be prescribed 
and any such change shall take effect 
only upon such filing.  
(4) If the LLP contravenes any provisions 
of this section, the LLP and its every 
partner shall be punishable with fine 
which shall not be less than ` 2,000 
but which may extend to ` 25,000. 
 
Registered office of LLP and change 
therein (Section 13):  
(1)  Every limited liability partnership shall 
have a registered office to which all 
communications and notices may be 
addressed and where they shall be 
received. 
(2)  A document may be served on a limited 
liability partnership or a partner or 
designated partner thereof by sending it 
by post under a certificate of posting or 
by registered post or by any other 
manner, as may be prescribed, at the 
registered office and any other address 
specifically declared by the limited 
liability partnership for the purpose in 
such form and manner as may be 
prescribed. 
(3)  A limited liability partnership may change 
the place of its registered office and file 
the notice of such change with the 
Registrar in such form and manner and 
subject to such conditions as may be 
prescribed and any such change shall 
take effect only upon such filing. 
(4)  If any default is made in complying 
with the requirements of this section, 
the limited liability partnership and its 
every partner shall be liable to a 
penalty of five hundred rupees for 
each day during which the default 
continues, subject to a maximum of 
fifty thousand rupees for the limited 
liability partnership and its every 
partner. 
Name (Section 15): 
(1) Every limited liability partnership shall 
have either the words “limited liability 
partnership” or the acronym “LLP” as 
the last words of its name. 
Name (Section 15): 
(1)  Every limited liability partnership shall 
have either the words limited liability 
partnership or the acronym LLP as the 
last words of its name. 
 PAPER – 2 : BUSINESS LAWS & BUSINESS CORRESPONDENCE AND REPORTING 5 
 
(2) No LLP shall be registered by a name 
which, in the opinion of the Central 
Government is—  
(a) undesirable; or  
(b) identical or too nearly resembles 
to that of any other partnership 
firm or LLP or body corporate or 
a registered trade mark, or a 
trade mark which is the subject 
matter of an application for 
registration of any other person 
under the Trade Marks Act, 
1999.  
(2)  No limited liability partnership shall be 
registered by a name which, in the 
opinion of the Central Government is 
(a)  undesirable; or 
(b)  identical or too nearly resembles 
to that of any other limited 
liability partnership or a company 
or a registered trade mark of any 
other person under the Trade 
Marks Act, 1999. 
Change of name of LLP (Section 17):  
(1) Notwithstanding anything contained 
in sections 15 and 16, where the 
Central Government is satisfied that a 
LLP has been registered (whether 
through inadvertence or otherwise 
and whether originally or by a change 
of name) under a name which —   
(a) is a name referred to in sub-
section (2) of section 15; or  
(b) is identical with or too nearly 
resembles the name of any other 
LLP or body corporate or other 
name as to be likely to be 
mistaken for it,  
 the Central Government may 
direct such LLP to change its 
name, and the LLP shall comply 
with the said direction within 3 
months after the date of the 
direction or such longer period 
as the Central Government may 
allow.   
(2) (i) Any LLP which fails to comply 
with a direction given under sub-
section (1) shall be punishable 
with fine which shall not be less 
than ` 10,000 but which may 
extend to ` 5 Lakhs. 
Change of name of LLP (Section 17):  
(1)  Notwithstanding anything contained 
in sections 15 and 16, if through 
inadvertence or otherwise, a limited 
liability partnership, on its first 
registration or on its registration by a 
new body corporate, its registered 
name;" name, is registered by a name 
which is identical with or too nearly 
resembles to— 
(a)  that of any other limited liability 
partnership or a company; or 
(b)  a registered trade mark of a 
proprietor under the Trade Marks 
Act, 1999, as is likely to be 
mistaken for it, then on an 
application of such limited 
liability partnership or proprietor 
referred to in clauses (a) and (b) 
respectively or a company, the 
Central Government may direct 
that such limited liability 
partnership to change its name 
or new name within a period of 
three months from the date of 
issue of such direction: 
 Provided that an application of the 
proprietor of the registered trade 
marks shall be maintainable within a