Which of the Following Is Correct with Respect to the Law

question 44

Multiple Choice

Which of the following is correct with respect to the law of partnership?

• A) A partnership cannot be created inadvertently.
• B) Joint and several liability means that each partner can be sued several times.
• C) Each partner is vicariously liable for the wrongful acts of their partners committed in the course of the partnership business.
• D) Partners are only liable for the torts of their partners if they in fact knew that the wrongful conduct was taking place.
• E) Partners have unlimited liability, meaning that they can lose up to the amount they have invested in the business.

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Definitions:

Bailment

The act of temporarily transferring physical possession of personal property by one party (the bailor) to another (the bailee) for a specific purpose.

Mutuum

A loan of goods with the intention that the goods may be used and later replaced with an equal amount of different goods.

Sugar

A sweet, crystalline substance obtained primarily from sugarcane and sugar beet, used mainly as a sweetener in food and drinks.

Misplaced

Incorrectly placed or lost, not being in its expected or designated location.