Jake entered into a partnership with Laura. However, there was no partnership agreement communicated. In the absence of a partnership agreement, a partnership will be bound by the following default provisions except: a. There has to be at least one general partner and one limited partner assigned to the partnership. b. All property contributed to the partnership or purchased with partnership funds is partnership property and not available for the personal use of a partner. c. All partners are legally entitled to share equally in the capital and profits of the business and must contribute equally towards losses. However, that legal entitlement to, and taxation of, profits are two different things. d. No partner is entitled to remuneration for acting in the partnership business. There has to be at least one general partner and one limited partner assigned to the partnership. All property contributed to the partnership or purchased with partnership funds is partnership property and not available for the personal use of a partner. All partners are legally entitled to share equally in the capital and profits of the business and must contribute equally towards losses. However, that legal entitlement to, and taxation of, profits are two different things.
1) There has to be at least one general partner and one limited partner assigned to the partnership.
2) All property contributed to the partnership or purchased with partnership funds is partnership property and not available for the personal use of a partner.
3) All partners are legally entitled to share equally in the capital and profits of the business and must contribute equally towards losses. However, that legal entitlement to, and taxation of, profits are two different things.
4) No partner is entitled to remuneration for acting in the partnership business.