LAW 603 Chapter Notes - Chapter 21: Canada Business Corporations Act, Search Report, Unanimous Consent
8 Apr 2014
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Chapter 21 basic forms of business organizations. Depends on type of organization carrying on business: sole proprietorship, general partnership. Law governing business organizations also provides structure for the operation of businesses, focusing on relationship that owners and managers have with the business and with each other. Business organizations law addresses risks that business owners face as a result of actions by managers. Income tax purposes; income or loss from spship is included with income or loss from other sources in calculating the sp"s personal tax liability. Advantages: easy to set up, easy to dissolve, sp simply carries on business, Characteristics of general partnership: partners carry on business on their own behalf, partnership not legally separate from the partners, consequences of this: All benefits of partnership business accrue directly to partners. Full extent of obligation: all of partner"s personal assets may be seized to satisfy.
