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    Ok let's say Peter entered into a contract to purchase a brand new car saying that it is for use in the business (Partnership), but then Steve his managing partner is angry that he has chosen to spend so much.
    In regards to Steve is his partnership contractually bound to buy the car, or is Peter personally liable?
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    Section 5 of the 1890 Act:

    5 Power of partner to bind the firm.

    Every partner is an agent of the firm and his other partners for the purpose of the business of the partnership; and the acts of every partner who does any act for carrying on in the usual way business of the kind carried on by the firm of which he is a member bind the firm and his partners, unless the partner so acting has in fact no authority to act for the firm in the particular matter, and the person with whom he is dealing either knows that he has no authority, or does not know or believe him to be a partner.
    What considerations do you think this section brings up?

    (Original post by MissNixx)
    Ok let's say Peter entered into a contract to purchase a brand new car saying that it is for use in the business (Partnership), but then Steve his managing partner is angry that he has chosen to spend so much.
    In regards to Steve is his partnership contractually bound to buy the car, or is Peter personally liable?
 
 
 
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