Relationship to 3rd Parties

Question 1

Partnership powers

Answer 1

1. Agent of the partnership
2. Actual or express authorty to act by the terms of the partnership agreement or by consent of other partners

Question 2

Acts not for apparently carrying on the business of the partnership in the usual way

Answer 2

does not bind the partnership unless authorized by the other partners

Question 3

Liability of partners

Answer 3

• All partners are personally liable jointly and severally for any tort, committed by a partner acting in the ordinary course of buisness
• All partners are liable jointly for all other debts and obligations of the partnership

Question 4

Partnership by Estoppel

Answer 4

Even if a voluntary partnership does not exist, liability may be imposed on one who has let it appear that he is in a partnership if a creditor is thereby misled

• Liable to anyoen who has extended credit in reliance on the representation of partnership
• Liable if he has consented to such a representation by another