Professor Afra Afsharipour has a paper titled The Advent of the LLP in India, the abstract of which is follows:
In 2008, India passed a ground-breaking law to introduce the Limited Liability Partnership form into Indian business law. The Indian LLP Act was the first major introduction of a new business form in India in over 50 years. While the partnership and corporate forms (i.e. companies under the Indian Companies Act) have long flourished in India, both forms have presented challenges for certain Indian businesses. The Indian government’s impetus for the LLP Act was to develop a business association form that could better meet the needs of entrepreneurs and professionals with respect to liability exposure, regulatory compliance costs and growth. This chapter begins with a broad overview of the political and legislative process which led to the adoption of the LLP Act. It then addresses the critical aspects of the Indian LLP Act, and analyzes some of the challenges and uncertainties that may derail the success of the LLP form.
The paper’s detailed analysis of the evolution and rationale for the LLP Act is extremely relevant and timely, especially given the limited literature about this business form in India.
Readers interested in this topic may also refer to two previous papers:
1. Decoding the New Business Vehicle of India: The Limited Liability Partnership by Nivedita Sen & Neha Mathen; and
2. The Indian LLP Law: Some Concerns for Lawyers and Chartered Accountants by Amit M. Sachdeva & Sachin Sachdeva.