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Partnership Law in Australia

            When does a partnership exist under the Act?.
             The statutory definition of a partnership is " the relation that exists between persons carrying on a business in common with a view to profit" .
             There are three essential elements of a partnership. To determine if a partnership relationship exists the prima facie rules are found within the Act:.
             1. there must be a carrying on of a business;.
             2. the business must be carried on in common; and.
             3. the business must be carried on with a view to profit.
            
             • Carrying on a business.
             The Act includes in its definition of a business every trade, occupation or profession. The scope of what may not be a business, in the partnership sense or otherwise, is expanded upon by common law. In Evans v FCT , when considering what can constitute a business activity, Hill J said,.
             "The question of whether a particular activity constitutes a business is often a difficult one involving as it does questions of fact and degree There is no one factor that is decisive of whether a particular activity constitutes a business." .
             At common law individuals" actions and circumstances have illustrated how a business is "carried on". The ordinary notion of "a business which is carried on" implies continuity but recurrence of transactions was not the most important consideration for Dawson J when deciding if a partnership relationship existed in United Dominion Corporation Ltd v Brian Pty Ltd. .
             "Whilst the phrase "carrying on a business" contains an element of continuity or repetition in contrast with an isolated transaction which is not to be repeated the decision of this court in Canny Gabriel.suggests that the emphasis which will be placed upon continuity may not be heavy.".
            


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