A DE FACTO PARTNERSHIP

Companies and individuals sometimes engage in business dealings between themselves and when disputes arise in the course of these dealings, they usually make the mistake to engage in proceedings as will be the case of registered companies under the OHADA Law. The is therefore the need for such collaborators to understand where they stand under the OHADA Law and the rules which should govern their collaboration and eventual disputes.

A de facto partnership according to the OHADA Law shall exist where two or more natural persons or corporate bodies act as partners without haven formed between themselves one of the companies recognized by the Uniform Act on Commercial Companies and Economic Interest Groups.

Where two or more natural persons or corporate bodies form between themselves a company recognized by this uniform act, but have not fulfilled the constituent legal formalities, or have formed between them a company not recognized by this uniform act, a de facto partnership shall exist.

Any interested party may petition the competent court of the principal place of activity of a de facto partnership for recognition of a de facto partnership between two or more persons. Such a person shall produce the identity or the commercial name of the partnership.

The existence of a de facto partnership shall be proved by any means. Once the existence of a de facto partnership is recognized by the judge, the rules governing private companies shall apply to the partners.

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