Who is a partner by estoppel?

One who, by words or conduct does any of the following:

1. Directly represents himself to anyone as a partner in an existing partnership or in a non- existing partnership

2. Indirectly represents himself by consenting to another representing him as a partner in an existing partnership or in a non-existing partnership

What are the liabilities in case of estoppel?

When Partnership is Liable. If all actual partners consented to the representation, then the liability of the person who represented himself to be a partner or who consented to such representation and the actual partner is considered a partnership liability.

When Liability is PRO RATA. When there is no existing partnership and all those represented as partners consented to the representation, then the liability of the person who represented himself to be a partner and all who made and consented to such representation, is joint or pro-rata.

When Liability is SEPARATE. When there is no existing partnership and not all but only some of those represented as partners consented to the representation, or none of the partnership in an existing partnership consented to such representation, then the liability will be separate.