Partnership Law Quiz

Composed of capitalist and industrial partners:

• Universal partnership

• General partnership

• Limited partnership

• None of the above

A and B entered into a universal partnership of all present property. The common property of the partnership shall be:

• All the properties which belonged to each of the partners at the time of the constitution of the partnership.

• All the properties which belonged to each of the partners after the constitution of the partnership.

• All the properties which belonged to each of the partners at the time of the constitution of the partnership as well as the profits which they may acquire therewith.

• All the properties which belonged to each of the partners at the time of the constitution of the partnership as well as the profits which they may acquire thereafter.

A capitalist partner engaged for his own account in an operation which is of the kind of business in which the partnership is engaged. Said partner can be

• Compelled to sell his interest in the partnership to the other capitalist partners.

• Compelled to dissolve or discontinue the operation of his business

• Compelled to bring to the common funds of the partnership any profits accruing to him from his transactions.

• Denied his share in the profits of the partnership.

• Pro-rata between the separate creditors of the debtor and the partnership creditor

A and B are partners in a real estate partnership. The partnership owns a piece of land which C desired to buy. C contacted A and inform him of his desire to buy the land and A did not tell to B about it. A bought B out of the partnership and afterwards sold the land to C with a big profit.

• The partnership is dissolved when A became the sole owner

• The sale of the land to C is void because it was without the knowledge of B.

• A is not liable to B for the latter’s share in the profits

• A is liable to B for the latter’s share in the profits

The following persons are disqualified to form a universal partnership. Who are the exception?

• Brother and sister

• Husband and wife

• Those guilty of adultery and concubinage

• Those guilty of the same criminal offense, if the partnership is entered into a consideration of the same.

A is the capitalist partner and B the industrial partner. A is engaged personally in the same kind of business the partnership is engaged in.

• If there are losses, the partnership will bear the losses

• If there are profits, the profits will be shares by A and the partnership

• If there are profits, A will give the profits to the partnership

• A will be excluded from the partnership and pay damages.

A is the managing partner of ABC Partnership. X owes A personally and ABC Partnership P20,000 each. A collected and receive from X, P10,000 and he issued a receipt wherein it is stated that the amount is applied against his personal credit.

• The amount received will be applied in favor the partnership credit

• The amount will be applied in proportion to both credits

• The amount received will be applied in the credit of A

• All the partners will decide as to whose favor it will apply

Three (3) of the following are rights of a general partner and also of a limited partner in a limited partnership. Which is not?

• To inspect and copy at reasonable hours the books of the partnership and have them kept at the principal place of business

• To demand true and full information of all matters affecting the partnership and a formal account of partnership affairs

• To have dissolution and winding up by decree of court

• None of the above

The partnership will bear the risk of loss of three of the following things, except

• Things contributed to be sold.

• Fungible things or those that cannot be kept without deteriorating.

• Non-fungible things contributed so that only their use and fruits will be for the common benefit.

• Things brought and appraised in the inventory.

When cash or property worth P3,000 or more is contributed as capital. The Articles of Co- Partnership shall be in a public instrument and be registered with the Securities and Exchange commission. If the said requirements are not complied with:

• It will render the partnership void.

• It will not affect the liability of the partnership and the partners to third parties.

• It will not give a legal personality to the partnership.

• It will give the partnership a de-facto existence.