Is it permissible to continue working with a program developed using a partner's funds after the partnership has been dissolved and the capital and profits returned to him, and what is the solution if the partner wishes to continue?
The partnership contract is permissible and can be dissolved unless it is for a fixed term. When the partnership is dissolved, the capital is returned to its owner, and any additional assets (such as devices, software, and trade name) are valued and sold to an outsider (actual liquidation) or to one of the partners, and its price is divided according to the agreed-upon ratio. If the software is not sold to an outsider, it is valued (constructive liquidation) and one of the partners buys it by mutual agreement. If both desire it, lots are drawn. The partnership ends upon the expiry of its term, or by agreement of the partners, or by actual or constructive liquidation of the assets. During liquidation, its costs are paid, then financial obligations, then the remaining assets are divided among the partners according to each one's share in the capital. The software developed with the company's money is owned by both of you; it will be valued, and its intellectual property rights and all assets belonging to the company will be sold.
Summarized from the full answer at Ftawy · reviewed Sep 2, 2026
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