Important Legal Definitions

An equitable maxim dictating that where two or more persons have a common interest in property or an unapportioned liability, equity distributes the property or loss equally among them, unless there is a valid reason for differentiation.

In a commercial partnership dissolution where the partnership deed is silent regarding the profit-and-loss sharing ratio, the civil court applies the maxim equality is equity (under Section 13 of the Indian Partnership Act) to divide the net assets equally.