LAW 603 Lecture Notes - Lecture 3: Settlor, Beneficiary (Trust), Legal Tests

• School: Ryerson University
• Department: Law and Business
• Course: LAW 603
• Professor: Peter Wilson

Document Summary

It is the simplest and least costly form of business to establish and operate and dissolve. Disadvantages: unlimited personal liability: third parties may take all the sole proprietor"s personal assets (e. g. house, car, etc. ) to satisfy the business"s obligations, financing -> the only method is borrowing money. Limited liability partnership: individual partners are not personally liable for the professional negligence of their partners and some other obligations if certain requirements are met. Dissolution: the termination of the partnership relationship. Limited partnerships: a partnership in which the personal liability of at least one partner is limited to the amount of the partner"s investment in the business. Corporation -> the most common form of business organization; is created only when certain documents are filed with the appropriate government office: federal or provincial incorporation (has similar process): Canada business corporations act (cbca) -> if your business is expected to expand beyond the scope of ontario, it"s more reasonable to choose cbca.