Chapter 5 Discussion Questions.docx - Jessica Garcia...

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Jessica Garcia GonzalezPalegal 04403/14/20Chapter 5 Discussion Questions1.The main advantage of becoming LLP is that in all states partners are protectedagainst unlimited personal liability for the negligent acts and misconducts of theirco-partners of course there are exceptions but that’s the main advantage.The disadvantages of forming an LLP are lack of continuity in states whose termof existence is only for one year, can only be formed for the purpose of practicinglaw, medicine, accounting, etc. The fees for filing are high making them expensive toform.2.The Act includes a new Section 1001(b) which provides that the decision tobecome an LLP is a major partnership event equivalent to an amendment of thepartnership agreement.Therefore, the required vote equals the vote required toamend the partnership agreement.When the agreement is silent on these matters,the required vote would be unanimous.Where the agreement includes several

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Term
Spring
Professor
N/A
Tags
Corporation, Types of business entity, Limited liability partnership

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