Salma and Debbie opened a restaurant in partnership.Two years later,Debbie left the restaurant,and Salma discovered that Debbie had incurred numerous expenses to their account.These expenses resulted in thousands of dollars' worth of debt for the restaurant.From the following,identify an accurate statement about this situation.
A)Salma doesn't have to worry because,according to law,everyone is responsible for his/her own debts.
B)Salma doesn't have to worry because business creditors will pursue Debbie alone since her signature authorized payments.
C)Business creditors will expect Salma to pay at least half the debt since she owns 50% of the business.
D)Business creditors will expect full payment from Salma.

Question

Quizplus · Accepted Answer

In a partnership, each partner is typically jointly and severally liable for the debts of the business, meaning creditors can pursue any partner for the full amount of the debt.

Salma and Debbie Opened a Restaurant in Partnership