Topic

first charge

1 articleLatest June 2026
EPF Act Section 11(2) | First Charge Does Not Extend to Partner’s Separate Property Even if Pledged as Loan Security : Karnataka HC
Case Law Analysis
|Karnataka High Court

EPF Act Section 11(2) | First Charge Does Not Extend to Partner’s Separate Property Even if Pledged as Loan Security : Karnataka HC

The Karnataka High Court held that the Employees' Provident Fund Organisation cannot recover dues from a partner’s personal property unless all firm assets have been exhausted under Section 8B. This protects partners’ private assets from automatic liability for business debts, reinforcing the separation between firm and personal liability under labour law.