You have been appointed as partnership secretary in the firm of Jones, James & Pitt, Chartered Account- ants. The partnership articles appear on pp 145 - 49. The following problems emerge over a number of partners' meetings:
(a) John Jones soon became unhappy about his future prospects. He retired from the firm last month and has taken a partnership with Snooks & Co, Chartered Accountants, whose office is two doors away from the offices of Jones, James & Pitt. Jane James and William Pitt, the remaining partners, are anxious to stop John from competing with them.
(b) Before he left, John Jones contracted to buy a microcomputer system for the practice from Scroggs Ltd, although at an earlier partners' meeting it was decided that the purchase should be deferred for one year. The system cost £5,000. Jane and William have so far refused to take delivery of the system or pay for it.
(c) Scroggs Ltd have written to the firm saying that unless the debt is paid they will petition the court to wind up the firm.
Having read the partnership articles thoroughly:
(iv) Prepare as part of your answer a memorandum for the next partners' meeting outlining the legal position of the firm in the three cases described above.
(v) If you think there is a claim under (a) above, draft as part of your answer a letter to the firm's solicitors, Weeks & Co, for the signature of the partners, stating what has happened and describing the relevant provisions of the partnership articles.
(vi) Draft as part of your answer a letter to Scroggs Ltd to deal with whatever you think the legal position is under (b) and (c) above.