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13 Cards in this Set
- Front
- Back
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** Agency ** |
** Agency ** |
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Agency |
Under GOL, agency is a legal relationship where one party (the principal) authorizes another party (the agent) to bind the principal in activities with third parties. Limitations on the scope of authority arise from the specific agreement and public policy. |
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Actual authority
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Actual authority is the authority an agent reasonably believes he possesses. Actual authority can be express or implied.
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Inherent authority
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Inherent authority exists when the principal is bound even though the agent had no actual authority to perform a particular act.
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Apparent authority
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As between a principal and an innocent third party who relies on the agent's apparent authority, the principal will be bound if he or she created the appearance of the agent's authority.
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** Partnership ** |
** Partnership ** |
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General Partnership
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General partnership is an association of 2 or more persons who are carrying on as co-owners of a business for profit. The contribution of money or services in return for a share of profits is prima facie evidence of a general partnership. |
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Limited partnership
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A limited partnership has at least 1 general partner and 1 limited partner. It allows the limited partner to invest in a general partnership without taking the personal liability of a general partner. |
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LLP
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Under the New York Partnership Law a general partnership may elect to become a Limited Liability Partnership where its members are authorized to provide a professional service. Each partner has no personal liability for the partnership’s debts and is shielded from the professional wrongdoing of the other partners. |
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** Joint ventures ** |
** Joint ventures ** |
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Joint venture |
A joint venture is where 2 or more parties contribute equity in order to perform a common economic activity in return for a share in profits. Unlike partnerships, joint venture is the legal status of an activity rather than a group performing the activity. It may therefore refer to a single business transaction rather than an ongoing business relationship. |
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** LLCs ** |
** LLCs ** |
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LLC
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Under the New York LLC Act, a limited liability company is an unincorporated organization of more than 1 person with limited liability for the actions of the business. Rather than shareholders, an LLC has members. These people remain personally liable for their own actions and negligence. |
