Question

In a general partnership, if one partner negligently injures someone while doing partnership business, who may be liable? a. The partnership b. The partner causing the injury c. The partners not involved in the injury d. All of the above

Answer 1

In a general partnership, all partners and the partnership itself may be liable if one partner negligently injures someone while conducting business, due to the joint and several liability inherent in general partnerships. (option d)

Step-by-step explanation:

In a general partnership, if one partner negligently injures someone while conducting partnership business, liability can extend to various parties involved in the partnership. The entities or individuals that may be liable include:

• The partnership as a whole, because it is viewed as an entity that can incur debts and liabilities.
• The partner who caused the injury through their negligent actions while carrying out partnership business.
• The partners not directly involved in the injury, as general partnerships involve joint and several liability, meaning that each partner can be held accountable for the actions of the others in the course of partnership business.

In a general partnership, personal liability is not limited, which means personal assets can be at risk for satisfying the debts and liabilities of the partnership. This is a considerable disadvantage as compared to a limited liability partnership where a partner's liability is generally limited to their investment in the company.

Therefore, the answer to the question is d. All of the above.