LAW 122 Lecture Notes - Lecture 21: Limited Liability Partnership, Sole Proprietorship, Fiduciary

• School: Ryerson University
• Department: Law and Business
• Course: LAW 122
• Professor: Noidea

Document Summary

Sole proprietorship: exists when a person carries on business on their own, without adopting any other form of business organization. No separation between the sole proprietorship business organization and the individual who is the sole proprietor. A sole proprietor cannot be an employee of the business because you cannot contract with yourself. They get all the benefits and bears all the burdens of the business: responsible for performing all contracts entered into the course of the business, responsible for all torts committed personally in connection with the business. Unlimited personal liability of a sole proprietor: means that third parties may take all the sole proprietor"s personal assets to satisfy the business"s obligations. Business license: is government permission to operate a certain kind of business. General partnership: is a form of business organization that comes into existence when two or more persons carry on business together with a view to a profit. A partner cannot be employed by the partnership.