A partnership files a statement of dissociation after a former partner leaves. Several months later, a supplier with no actual knowledge of the departure accepts a new order from the former partner in the partnership's n...
Citations: Revised Uniform Partnership Act secs. 601-603, 701-704, 801-804
A dissociated partner signs an ordinary-course equipment lease in the partnership's name two months after leaving. The lessor reasonably believes the person is still a partner and has no notice of dissociation, so the pa...
Citations: Revised Uniform Partnership Act secs. 601-603, 701-704, 801-804
A general partnership continues operating after one partner dissociates. No event requiring dissolution and winding up has occurred. The remaining partners plan to keep the business open and settle the former partner's i...
Citations: Revised Uniform Partnership Act secs. 601-603, 701-704, 801-804
A general partnership provides cybersecurity consulting to hospitals. Partner Nora controls billing. Over eight months, Nora directs a bookkeeper to send duplicate invoices to two hospital clients, deposits one refund ch...
Citations: Revised Uniform Partnership Act secs. 601-603, 701-704, 801-804
A partner in a general partnership sells all of her transferable economic interest to an outside investor. The sale is not a security arrangement and is not reversed. The partnership agreement does not address the issue...
Citations: Revised Uniform Partnership Act secs. 601-603, 701-704, 801-804
A partner in an at-will general partnership emails the other partners: "I withdraw as a partner effective immediately." The partnership agreement contains no withdrawal limits. The other partners say the withdrawal is in...
Citations: Revised Uniform Partnership Act secs. 601-603, 701-704, 801-804
A partner leaves a two-year partnership six months after formation without any agreement-based right to withdraw early. Which statement best describes the legal consequence? This question tests wrongful dissociation from...
Citations: Revised Uniform Partnership Act secs. 601-603, 701-704, 801-804
...verts refunds, hides client complaints, and persistently breaches the partnership agreement. The other partners seek judicial expulsion. Which statement best describes the court's authority? This question tests judicial...
Citations: Revised Uniform Partnership Act secs. 601-603, 701-704, 801-804
A partner validly dissociates from a continuing general partnership and demands to keep voting on new contracts until the buyout price is paid. Which statement is most accurate? This question tests the immediate status c...
Citations: Revised Uniform Partnership Act secs. 601-603, 701-704, 801-804
After a general partnership dissolves, one partner signs a contract to finish an existing customer project and another signs a five-year lease for a new expansion office. Which statement best describes partner authority...
Citations: Revised Uniform Partnership Act secs. 601-603, 701-704, 801-804
After Paula dissociates from a general partnership, she signs an ordinary-course supply contract in the partnership's name. Before leaving, Paula routinely signed the same type of contract. The supplier reasonably believ...
Citations: Revised Uniform Partnership Act secs. 601-603, 701-704, 801-804
Diego, Mei, and Priya form a general partnership to operate a two-year pop-up food hall under a city lease. Their written agreement says the partnership will end when the lease expires in two years unless all partners ag...
Citations: Revised Uniform Partnership Act secs. 601-603, 701-704, 801-804
Ravi dissociates from a general partnership that imports specialty tile. For years, Ravi ordered inventory from Coast Supply on the partnership's account. The remaining partners remove Ravi from internal software but do...
Citations: Revised Uniform Partnership Act secs. 601-603, 701-704, 801-804
Three architects, Ava, Ben, and Celia, operate an at-will general partnership that designs small apartment buildings. The partnership agreement says profits are shared equally and major contracts require a majority vote...
Citations: Revised Uniform Partnership Act secs. 601-603, 701-704, 801-804
Two partnerships operate related outdoor businesses. Trail Maps is an at-will partnership among five partners. One partner gives written notice that she is withdrawing and wants the business wound up. A second partner sa...
Citations: Revised Uniform Partnership Act secs. 601-603, 701-704, 801-804
A partner in a general partnership signs an ordinary supply contract for the partnership's business. Which statement best describes the partner's authority? This question tests the basic partner-agency rule. Revised Unif...
Citations: Revised Uniform Partnership Act secs. 301, 303, 305, 306, 307, 308
A three-person partnership agreement is silent about adding new partners. Two partners want to admit a fourth person who will contribute capital and share future profits. The third partner objects. Which statement is mos...
Citations: Revised Uniform Partnership Act secs. 202-204, 401
Vine Street Studios is a general partnership that owns a warehouse and rents artist studios. The partnership filed a statement of partnership authority with the state filing office and recorded a certified copy in the co...
Citations: Revised Uniform Partnership Act secs. 301, 303, 305, 306, 307, 308
A general partnership defaults on an ordinary business debt to a vendor. Which statement best describes general partner liability? This question tests personal liability of general partners for partnership obligations. R...
Citations: Revised Uniform Partnership Act secs. 301, 303, 305, 306, 307, 308
A newly admitted partner signs a separate one-page guaranty of a partnership post-admission parts invoice. The partnership does not pay. Which statement is most accurate? This question tests a partner separate guaranty o...
Citations: Revised Uniform Partnership Act secs. 301, 303, 305, 306, 307, 308
A partner in a general partnership uses the partnership's confidential customer list to obtain a side contract for herself before the partnership dissolves. Which statement best describes the partner's duty? This questio...
Citations: Model Business Corporation Act secs. 8.30-8.32 and 8.60-8.63, Revised Uniform Partnership Act sec. 404, Revised Uniform Limited Liability Company Act secs. 105 and 409
A partner in a partnership votes against expanding the business because the partner believes the expansion would increase personal workload without fair compensation. The partner discloses that concern and does not misle...
Citations: Model Business Corporation Act secs. 8.30-8.32 and 8.60-8.63, Revised Uniform Partnership Act sec. 404, Revised Uniform Limited Liability Company Act secs. 105 and 409
A partner negligently injures a customer while delivering partnership inventory to a job site. Which statement best describes partnership liability? This question tests partnership liability for a partner's wrongful act...
Citations: Revised Uniform Partnership Act secs. 301, 303, 305, 306, 307, 308
A partnership agreement says no partner may sign purchases above $20,000 without unanimous consent. A supplier without notice accepts a $50,000 ordinary-course order from one partner. Which statement is most accurate? Th...
Citations: Revised Uniform Partnership Act secs. 301, 303, 305, 306, 307, 308
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