[Partnership Agreement] Rufus, Sven, and Igor are partners in a Health Club. They executed a partnership agreement ten years ago. Rufus and Sven want to grow the company and approach Igor with their ideas. First, they want to add two partners into the partnership who have extensive capital. Second, they want to move the club into a new direction, by adding a restaurant and a casino. Third, they want to purchase new exercise equipment from SportsCo. Igor doesn't want to add new partners and despises the idea of adding the restaurant and casino. Igor agrees that new equipment is needed, but insists they continue to purchase equipment from HealthCo. Rufus and Sven tell Igor, that he's outvoted and also tell him they want to revise the partnership agreement's provision regarding mandatory retirement.
-Are Rufus and Sven correct that Igor is outvoted?

Question

Quizplus · Accepted Answer

Partnership decisions generally require a majority vote for ordinary business matters. However, for significant changes such as adding new partners, changing the nature of the business, or amending the partnership agreement, the consent of all partners is typically required. Thus, Rufus and Sven cannot unilaterally make these decisions without Igor's consent.

[Partnership Agreement] Rufus, Sven, and Igor Are Partners in a Health