Amina,Bill,and Connor carried on business in partnership as hardware merchants.Bill,who did most of the purchasing of stock for the partnership,would occasionally purchase (using his own money)an extra quantity of some items that could readily be sold to consumers.He would use the truck owned by the business on the weekends to travel to his cottage where he would sell the items to cottage owners in the area of his own cottage.Amina and Connor were unaware of Bill's actions,as B had not revealed his weekend business activity to either Amina or Connor.
-The partnership is automatically dissolved because of Bill's actions.

Question

Quizplus · Accepted Answer

While Bill's actions may be in breach of his fiduciary duties to the partnership and could result in him being liable to the partnership for any profits made, it does not automatically dissolve the partnership. The partnership agreement or relevant laws would need to be consulted to determine the appropriate course of action.

Amina,Bill,and Connor Carried on Business in Partnership as Hardware Merchants