Dissolution of Partnerships

Dissolution of partnership occurs when a business partner ceases to be a part of the business, either by choice or through death or incapacity.   

 

With the exception of Québec, legislation across the provinces and territories puts forward that all partnerships are dissolved upon the death of one partner unless there was a prior agreement made to continue the partnership when one partner dies.

 

In Québec, upon the death of a partner, a cancellation notice must be filed declaring that the partnership is no longer in place unless there was a prior agreement in place to guarantee the succession of the partnership upon the passing of one partner.

 

Listed below are the Partnership Acts and sections regarding dissolution of partnership by death for each province and territory in Canada.