In an LLP That Is Continuing Business After Dissociation

question 40

Multiple Choice

In an LLP that is continuing business after dissociation:

• A)a dissociated partner has high risk of continuing liability for contracts.
• B)a dissociated partner has less risk of continuing liability for torts occurring before or after the partner leaves the LLP.
• C)the partner's liability is limited beyond the LLP's assets.
• D)the buyout payment made to a dissociated LLP partner will impair the ability of the LLP to pay its creditors.

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Definitions:

Vocabulary Explosion

A rapid increase in the number of words a child learns and uses, commonly observed between the ages of two and three.

Naming

The act or process of providing a name to a person, place, thing, or concept.

Cognitive

Relating to mental processes involved in knowledge, understanding, learning, and decision-making.

Object

A material thing that can be seen and touched.