Page 424 - Important Provisions of The New Civil Code

Article 1797. The losses and profits shall be

distributed in conformity with the agreement. If

only the share of each partner in the profits has

been agreed upon, the share of each in the

losses shall be in the same proportion.

In the absence of stipulation, the share of each

partner in the profits and losses shall be in

proportion to what he may have contributed,

but the industrial partner shall not be liable for

the losses. As for the profits, the industrial

partner shall receive such share as may be just

and equitable under the circumstances. If

besides his services he has contributed capital,

he shall also receive a share in the profits in

proportion to his capital. (1689a)

Article 1799. A stipulation which excludes one

or more partners from any share in the profits

or losses is void. (1691)