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(solved) Assignment on Law

   

Added on  2020-03-23

11 Pages1895 Words354 Views
Running Head: Law 1Law
(solved) Assignment on Law_1
Law2Answer 1Part ASuitability of general partnership, limited partnership, and joint venture:PART CLIENTSGENERAL PARTNERSHIPLIMITED PARTNERSHIPJOINT VENTURE1 Simon General partnership is suitable in case of Simon, because in this person is involved in day to day operations of thebusiness and liable for all the debts and liabilities of the company. It is not suitable for Simon because in this activities of the partner are restricted. It is not suitable for Simon as he wants to engage in day to day operations of the partnership. 2SueIt is not suitable for Sue because in this liability of the partner is not limited. Limited partnership is suitable for Sue, because Sue wants to limit her liability while investing inthe business. Limited liability limits the liabilityof the partner up to the capital invested by the It is not suitable for Sue because liabilityis not limited.
(solved) Assignment on Law_2
Law3partner. 3TomIt is suitable for Tombecause in this Tom can engage in day to day activities of the business1. It is not suitable for Tom because in this activities of the partner are restricted. It is suitable for Tom as he wants to engage conduct business for protecting his investment in the business. Part BFeatures of limited partnership which seems attractive:Section 11 of the Limited Partnership Act 2008 states, limited partnership is separate legal person. In other words, it is a separate entity and identity of partnership is not clubbed with the partners. Limited partners under this partnership are not liable for the debts and liabilities of the partnership and they are only liable up to the extent of their capital invested2. One more advantage of separate legal entity is that limited partner gets the benefit of being taxedas partnership. 1 Companies office, FAQs on General and Limited Partners, < https://www.companiesoffice.govt.nz/companies/learn-about/other-registers/limited-partnerships/faqs/general-partners-limited-partners#section-6>, accessed on 19th September 2017. 2 Limited partnership Act- 2008.
(solved) Assignment on Law_3
Law4Section 50 of the Limited partnership 2008 states, as per the partnership agreement limited partner does not own any fiduciary duty towards the limited partnership or any other partner. In other words, limited partner is not fiduciary obliged towards partnership or other partners in his limited partner capacity3. Answer 2Section 5 of the Partnership Act 1908 states the rules which determine the existence of partnership are stated below:Sharing of profits can be considered as prima facie evidence for the purpose of determining the partnership. This can be understood through case law Newstead v Frost [1980] 1 All ER 3634. Inthis case, court stated that view to earn profit must be the primary motive of the business5. Following receipts of profit cannot be considered as sharing of profit and does not make person partner:Payment related to debt made to person from profits.Sale of goodwill of partnership. Sharing profit with employees and agents. In the present case, two partners share profit of the business, and sharing profit can be consideredas prima facie evidence of partnership. Therefore, partnership exists, and both Tom and Oliver 3 Limited partnership Act 2008- Section 50. 4 Newstead v Frost [1980] 1 All ER 363. 5 Partnership Act 1908- Section 5.
(solved) Assignment on Law_4

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