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AllBar 2024REMEDIAL LAW, LEGAL AND JUDICIAL ETHICSIII. CIVIL PROCEDURE (1997 Rules on Civil Procedure as amended by A.M. No. 19-10-20-SC)D. Parties to Civil Actions (Rule 3)6. Transfer of Interest

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Question

Subject: Parties to Civil Actions (Rule 3)


Scenario:

John and Jane entered into a business partnership. They signed a written agreement stating that they would share the profits and losses equally. However, due to personal reasons, John decided to transfer his interest in the partnership to his cousin, Mark. Mark agreed to assume all of John's rights and obligations in the partnership.

Question:

Can John validly transfer his interest in the partnership to Mark? Discuss the applicable provisions under Rule 3 (Parties to Civil Actions) that govern the transfer of interest in a civil action.


Answer

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