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The Non-Equity Partner Agreement is essential for professional services firms in India seeking to expand their partnership structure without diluting equity ownership. This document is typically used when promoting senior professionals to partnership status while maintaining the firm's existing equity structure. It complies with Indian partnership laws, particularly the Indian Partnership Act, 1932, and addresses crucial aspects such as partner compensation, voting rights, client responsibility, and professional liability. The agreement is particularly relevant for law firms, accounting practices, and consulting firms operating under Indian jurisdiction, where non-equity partnership models have become increasingly common as a means of talent retention and career progression.
