Multiple Choice
In which one of the following situations would Sam not be liable for the conduct of his partner,Joe?
A) Joe is in a partnership with Sam in a shoe store, and without telling Sam, Joe opens up a franchise of Kinney's Shoes in an adjoining municipality, which suffers a loss.
B) They made it clear in their partnership agreement that they would not be liable for each other's actions.
C) Joe, without the knowledge or consent of his partner Sam, purchases a gross of patent leather shoes in the name of the partnership shoe business.
D) Joe absconds with trust funds he has accepted from a client in his accounting partnership with Sam.
E) Joe is in a partnership with Sam and injures a customer while doing partnership business.
Correct Answer:

Verified
Correct Answer:
Verified
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