Jessica Had Operated a Business for Several Years

question 58

Multiple Choice

Jessica had operated a business for several years.Because the number of customers increased significantly,she persuaded Zach to work together with her.Two years after Zach came aboard,Jessica committed a tort while acting in the course of the business and caused a customer to suffer a substantial loss.A question has arisen as to whether Zach and Jessica were partners.Which of the following statements is TRUE?

• A)A partnership may exist even if Zach and Jessica signed a document that expressly said that their relationship was not a partnership.
• B)Zach will be considered a partner as long as he was paid for his services out of the business's profits.
• C)A partnership cannot exist unless the business holds property apart from both Jessica and Zach.
• D)The parties' business organization cannot be a partnership if the business was losing money with the result that there were no profits to share.
• E)Because Zach and Jessica were working together,he is liable for her tort even if they were not formally partners.

Recognize the roles and expectations of venture capitalists and angel investors in startup funding.

Identify the stages and suitable sources of financing for different phases of a startup.

Comprehend the importance and methods of conducting due diligence on potential investors.

Learn the historical development and professionalization of venture capital.

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Definitions:

Malpractice Lawsuits

Legal actions brought against healthcare providers for negligence or failure to meet accepted standards of care, resulting in harm to a patient.

Qualified Substitute

An individual deemed capable and meeting the necessary criteria to temporarily replace another professional or role.

Breach of Duty

The failure to meet a standard of care or conduct that is expected in a given circumstance, leading to legal liability.

Subpoena Duces Tecum

A legal document ordering an individual to appear in court with specified documents or evidence.