The Law Commission and Scottish Law Commission today published a joint consultation paper on reform of the 1907 Limited Partnerships Act.
The two bodies are investigating reforming the Act in order to enable UK limited partnerships to be more effective as venture capital vehicles, as well as property investment vehicles. Modernisation would help them compete with partnerships set up in Europe or jurisdictions such as Jersey and the Cayman Islands – which have introduced more modern legislation.
A recent UK Treasury report described the 1907 Act as “generic and rather archaic”. It criticised the 20-partner limit and the “uncertain status” of partners engaged in overseeing investment activity.
The full report is available at www.lawcom.gov.uk or www.scotlawcom.gov.uk. Comments on the consultation paper are invited and must be received by 11 January 2002.
EGi News 06/11/01
