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What is implied agency in partnership? - Commercial Applications

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Question

What is implied agency in partnership?

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Solution

Implied agency in partnership means that every partner is an implied agent of the other partners and of the firm. This implies that any partner can act on behalf of the firm and bind the other partners by their actions in the normal course of business. Each partner is liable for acts performed by other partners on behalf of the firm.

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Chapter 3: Ownership Structures - Partnership - EXERCISES [Page 41]

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C. B. Gupta Commercial Applications [English] Class 9 ICSE
Chapter 3 Ownership Structures - Partnership
EXERCISES | Q II. 4. | Page 41
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