Section 30 of the Indian Partnership Act, provides that though a minor cannot be a partner in a firm, but, with the consent of all the partners for the time being, he may be admitted to the benefits of partnership by an agreement executed through his guardian with the other partners.

Deemed Partnership with Unlimited Liability:

When a minor attains majority, he can decide whether to continue as a partner in the firm or not. If he chooses to continue, he will be considered a partner with unlimited liability. The question is from which date he will be deemed to be a partner with unlimited liability.

Option D is correct, i.e., (a) or (b) whichever is later. Let us understand this in detail.

Option A: When he attains majority

As per the Indian Contract Act, 1872, a minor is not competent to enter into a contract. Hence, any agreement made by a minor is void-ab-initio, i.e., it is not enforceable by law. When a minor attains majority, he can ratify or repudiate the agreement made during his minority. If he ratifies the agreement, it becomes valid from the date of its formation. Hence, if a minor continues as a partner in the firm after attaining majority, he will be deemed to be a partner with unlimited liability from the date of his attaining majority.

Option B: When it comes to his knowledge

Sometimes, a minor may not be aware of his status as a partner in the firm. He may come to know about it at a later date, say, after a few months or years. In such a case, he can choose to ratify or repudiate the agreement within a reasonable time from the date of his knowledge. If he ratifies the agreement, it becomes valid from the date of its formation. Hence, if a minor continues as a partner in the firm after he comes to know about it, he will be deemed to be a partner with unlimited liability from the date of his knowledge.

Option C: (a) or (b) whichever is earlier

This option is incorrect because the correct answer is option D.

Conclusion:

From the above discussion, we can conclude that when a minor attains majority, he will be deemed to be a partner with unlimited liability from (a) or (b) whichever is later. This means that he can ratify or repudiate the agreement within a reasonable time from the date of his knowledge. If he ratifies the agreement, he will be liable as a partner from the date of his knowledge.

D