Partnership by estoppel is a way that a person may be held liable as a partner
A) because they have done business with the partnership
B) without actually being named as a partner in a partnership agreement.
C) by common law agency principals
D) under federal law
E) due to the appearance of a partnership created in an online deal

Question

Quizplus · Accepted Answer

Partnership by estoppel occurs when a person is treated as a partner (and thus can be held liable as one) not because they are officially named in a partnership agreement, but because their actions or the situation makes it appear to others that they are a partner. This concept is based on the principle of estoppel, which prevents a person from denying the truth of a situation that they have created or allowed others to believe.

Partnership by Estoppel Is a Way That a Person May