Q: Elaborate Doctrine of holding out ?

 Doctrine of holding out : 

An outsider, who has given credit to the firm thinking him to be a partner, can hold him liable as if he is a partner in that firm. As the liability of the partners is joint and several he can be held liable to pay the entire amount.

The concept of 'holding out' is nothing but an application of the principle of estoppel, which in simple terms is a 'rule of evidence' wherein an individual is abstained or estopped from denying a statement made by him or the existence of such facts as may make another believe the same.

If the person represents himself as the partner of the firm or allows some other person to represent him as the partner of the firm, such person shall not be deprived or estopped from his representation. This is known as holding out.