Summary
Summary The Law on Partnerships and Private Corporations, ISBN: 9789712382727 Laws on Partnership and Corporation (ACC225)
- Course
- Institution
- Book
Summary of the Business Laws: Laws on Partnership and Corporations
[Show more]
Connected book
Book Title:
Author(s):
- Edition:
- ISBN:
- Edition:
More summaries for
-
Law-On-Partnership-Summary.pdf
Seller
Follow
angilicaganados
Content preview
GANADOS, ANGILICA JOY A.BSA- II
ACC 225- 1184
LAW ON PARTNERSHIP
A. General Provisions
Law on partnership is under Business Laws and Regulations
Stages of Partnership
a. Formation
b. Operation- usually tackles about profit and losses
c. Dissolution- usually tackles about admission and withdrawals
d. Liquidation- usually deals with installment and lump-sump
Partnership- ( Art. 1767)
- Deals with businesses: Two or more persons bind
themselves to contribute money, property, and industry to a
common fund, with the intention of dividing profits among
themselves.
- General Professional Partnership: Two or more persons
may also form a partnership for the exercise of a profession.
Characteristics of Partnership
- Principal : does not depend on any other
contract for its validity
- Bilateral or Multilateral : two or more
persons has reciprocal rights
- Nominate : special name given by law
and has respective rights and obligations
- Preparatory : by which other contracts
will be entered into as the partnership
pursue its business ( e.g contract of sale,
etc.)
- Onerous : partners contribute to a
common fund with the intention of
dividing profits among themselves
, - Consensual : perfected by consent of
the parties ( Art. 1305)
1. Is there a partnership?
1a. Persons who are not partners as to each other are not
partners as to third persons, except:
o Partners by estoppel- in pais ( by statement,
silence, or omission); by deed ( in view of any
document); by laches ( passage of time)
Partners by Estoppel ( Art.1785)
1. When a person represents himself as partner in an
existing partnership (partnership liability will arise):
a. if all partner consent to such misrepresentation- a
partnership by estoppel is created between the actual
partners and the person who made the
misrepresentation
b. if not all partner consent to misrepresentation- the
person who made the misrepresentation is considered
partner by estoppel (shall have all the obligations of
an actual partner but without the rights of a partner); (
jointly with the actual partner who consented the
misrepresentation)
2. When a person represents himself in a non-existing
partnership ( no partnership liability will arise):
a. The person who made the misrepresentation and
all the persons who consented to it are liable
1b. Co-ownership does not by itself establish a partnership (Art.
1769):
o Whether such co-owners do or do not share profits
made by the use of property- for enjoyment and
preservation of the property co-owned ( co-ownership
exists if there is no partition)
1c. The sharing of gross return does not of itself establish a
partnership
, - Whether or not the persons sharing them
have a joint or common right or interest in
any property from which the returns are
derived.
Prima Facie Existence of Partnership
- The receipt by a person of a share of
profits (net returns) of a business is
prima facie that he or she is a partner in
the business, except: (if such payment
were received in payment)
o As debt by installment or otherwise;
o As wages of an employee or rent to a landlord
o As an annuity to a widow or a representative of a
deceased partner
o As an interest on a loan
o As the consideration for the sale of a goodwill of a
business or other property by installment
- If there is a mutual contribution of money,
property, and industry to a common fund
and such person has a receipt of share of
profits, is it considered as conclusive
evidence that a partnership exist? No,
only prima facie.
Purpose of Partnership
- Must be lawful
- In unlawful, partnership will be dissolved
(all profits will be confiscated in favor of
the state without prejudice [provisions
relative to the unlawful partnership or
committed crime] to the revised penal
code); ( Art. 45 proceeds and
instruments and tools of the crime unless
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller angilicaganados. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $90.49. You're not tied to anything after your purchase.
Can Stuvia be trusted?
4.6 stars on Google & Trustpilot (+1000 reviews)
62890 documents were sold in the last 30 days
Founded in 2010, the go-to place to buy study notes for 14 years now