LAW 122 Lecture Notes - Lecture 8: Sole Proprietorship, Vicarious Liability, Fiduciary
28 Jul 2017
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That person is also vicariously liable for all torts committed by employees in the course of their employement. Liscense which is a government permission to operate certain kind of business. Not all business require the liscence, it depends on the activity. Definition: a general partnership is a form of business organization that comes into existence when two or more persons carry on business together with a view to profit. All benefits of the partnership business accrue directly to partners. A partner can not be employed by the partnership. Disadvantage: unlimited personal liability (which means that third parties may take all the sole proprietor"s personal assets not just those of the business to satisfy the business"s obligations. Partnership agreement is a contract between partners regarding the operation of the partnership. Each partner ows a fiduciary duty to the others. Fiduciary duty requires a partner to act honestly and in good faith with a view to the best interests of the partnership.
