1) Which of the following statements is false regarding the liability of partner
ID: 417882 • Letter: 1
Question
1) Which of the following statements is false regarding the liability of partners?
Each partner is jointly and severally liable on all contracts made by or on behalf of the partnership.
Each partner is jointly and severally liable for all physical torts committed by a copartner in the course of partnership business.
Each partner is jointly and severally liable for frauds committed by a copartner in the course of partnership business, even though he or she does not know of or participate in the fraud.
Where there is joint and several liability, an action may be brought against any one or more of the partners or the partnership.
A)Each partner is jointly and severally liable on all contracts made by or on behalf of the partnership.
B)Each partner is jointly and severally liable for all physical torts committed by a copartner in the course of partnership business.
C)Each partner is jointly and severally liable for frauds committed by a copartner in the course of partnership business, even though he or she does not know of or participate in the fraud.
D)Where there is joint and several liability, an action may be brought against any one or more of the partners or the partnership.
Explanation / Answer
Where there is joint and several liability, an action may be brought against any one or more of the partners or the partnership. This statement is false statement as in joint several liability each party is responsible for its part of the liability.
Each partner is jointly and severally liable on all contracts made by or on behalf of the partnership. The statement is true.
Each partner is jointly and severally liable for frauds committed by a copartner in the course of partnership business, even though he or she does not know of or participate in the fraud. The statement is true. If done outside the scope of the partnership business then the other partner is not liable.
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