_____ is a partnership arising when in fact none exists, where one allows himself or herself to be represented as a partner, thus incurring partnership liability.

Question

Quizplus · Accepted Answer

Partnership by estoppel, also known as apparent partnership, is a situation where a person is held out by another as a partner or allows himself or herself to be represented as a partner to a third party, thereby creating a partnership by estoppel. This person incurs partnership liability for transactions made by the third party in reliance on their apparent partnership status, even if no actual partnership exists.

_____ Is a Partnership Arising When in Fact None Exists