Question

Kristin and Lindsey are partners in Mobile Devise, an online marketing firm.Lindsey dissociates from Mobile. Kristin signs a contract with Organic Olives, a food seller, apparently on Mobile’s behalf. Organic Olives does not know of Lindsey’s dissociation. The contract is binding on​:_________.a. Kristin only.b. Mobile only.c. Kristin, Lindsey, and Mobile.d. ​Organic Olives only.

Answer 1

Answer:

The answer is C. Kristin, Lindsey, and Mobile

Explanation:

In partnership, there is no distinct difference between the partners(Kristin and Lindsey) and their firm(Mobile Devise). Any contract either of the partners signs on behalf of Mobile Devise is binding on the partners and their firm.

Also in partnership, their liabilities are unlimited. Whatever loss Mobile devise incurs will be their loss unlike in corporation firms.