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Extra resources for Cavendish: Business Lawcards
Simply receiving a payment from profits is not sufficient automatically to make a person a partner in a business concern. Legal status of a partnership A partnership has no separate legal personality apart from its members in the way a joint-stock company does. Partnerships are generally limited to 20 members; however, certain professional partnerships are exempt from this maximum limit. Formation of a partnership There are no specific legal requirements governing the formation of a partnership.
Rights of partners Subject to express provision to the contrary in the partnership agreement, s 24 of the PA sets out the rights of partners. Amongst the most important of these are the rights: (a) to share equally in the capital and profits of the business; (b) to be indemnified by the firm for any liabilities incurred or payments made in the course of the firm’s business; (c) to take part in the management of the business; BUSINESS L AW 59 (d) to have access to the firm’s books; (e) to prevent the admission of a new partner; (f) to prevent any change in the nature of the partnership business.
C) What effect do UCTA and the Unfair Terms in Consumer Contracts Regulations have on the exclusion clause? Has the exclusion clause been incorporated into the contract? An exclusion clause cannot be effective unless it is actually a term of a contract. There are three ways in which such a term may be inserted into a contractual agreement, as shown in the following diagram. 30 CAVENDISH L AWCARDS BUSINESS L AW 31 Does the exclusion clause effectively cover the breach? The contra proferentem rule requires any uncertainty or ambiguity in the exclusion clause to be interpreted against the meaning claimed for it by the person seeking to rely on it (Andrews v Singer (1934)).
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