Unit 3

Question 1

What are the General Characteristics of capital companies?

Answer 1

-members DO NOT take responsibilitiy with their persona assets of the obligations of the company
- management is relegated to a different corporate body

Question 2

What are the General Characteristics of Partnerships?

Answer 2

-Members are unlimitedly liable for the obligations of the partnerships
-Management by the members

Question 3

What are the two types of partnerships and the respective Characteristics?

Answer 3

A) Partnership
- responsibility of members for entity debts
-management must be members
-transmission of membership status requires everyone’s consent
-company name must include the name of at least one member

B) Limited Partnership
- Coexistence of two types of members: regular and limited members (different responsibilities)
-Limited members excluded from management
-Company name, must include the name of at least one regular memebers