Ad
related to: general partner and limited difference law of motion examples
Search results
Results from the WOW.Com Content Network
A limited partnership (LP) is a type of partnership with general partners who have a right to manage the business and limited partners who have no right to manage the business but have only limited liability for its debts. [1] Limited partnerships are distinct from limited liability partnerships, in which all partners have limited liability.
By having the limited partnership make an election under state law, the general partners are afforded limited liability for the debts and obligations of the limited partnership that arise during the period that the LLLP election is in place. The manner of the election varies in accordance with state law.
By default, each general partner has an equal right to participate in the management and control of the business. Disagreements in the ordinary course of partnership business are decided by a majority of the partners, and disagreements of extraordinary matters and amendments to the partnership agreement require the consent of all partners.
Limited partners may have a role in the business, outside of the scope of making or influencing business management or operations. General partners are able to make decisions that are fully and legally binding to the partnership, but limited partners do not have that authority. [6] Taxation is also different between limited and general partners.
A close equivalent to limited liability partnerships under Polish law is the spółka partnerska, where all partners are jointly and severally liable for the partnership's debts apart from those arising from another partner's misconduct or negligence. This partnership type is only addressed to representatives of some "high risk" occupations ...
A "motion to dismiss" asks the court to decide that a claim, even if true as stated, is not one for which the law offers a legal remedy.As an example, a claim that the defendant failed to greet the plaintiff while passing the latter on the street, insofar as no legal duty to do so may exist, would be dismissed for failure to state a valid claim: the court must assume the truth of the factual ...
Get AOL Mail for FREE! Manage your email like never before with travel, photo & document views. Personalize your inbox with themes & tabs. You've Got Mail!
The test above works for general partners in a partnership, but not for limited partners. Limited partners, by the nature of having limited liability, do not have to pay back deficits. Instead, there is another test called the "alternative economic effects test" that follows the first two requirements, but replaces the last requirement.
Ad
related to: general partner and limited difference law of motion examples