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Unless there is a stipulation fixing a different time

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-Unless there is a stipulation fixing a different time, this obligation of a partner to give his promised contribution arisesfrom the commencement of the partnership, that is, upon perfection of the contract.Downloaded by Anxy MD ([email protected])lOMoARcPSD|11905775
Cases covered by the article:a.when money promised is not given on time;b.when partnership money is converted to the personal use of the partnerCoverage of liabilitya.interest at the agreed rate (if none, the legal interest)b.damages that may be suffered by the partnershipWhy no demand is needed to put partners in default:a.contribution-a partnership is formed precisely to make use of contributions, and this use should start from its formation, unless adifferent period has been set; otherwise the firm is necessarily deprived of the benefits thereof- injury is constant- time is of the essenceb.conversion-theformisdeprivedofthebenefits of the money, from thevery moment of conversionnote: even if no actual injury results, the liability exists because Art. 1788 is absoluteArt. 1789 – Obligations of an Industrial PartnerRemedies where industrial partner engages in business-if the industrial partner engages in business for himself, without the express permission of the partnership, thecapitalist partners have the right to exclude him from the firm or to avail themselves of the benefits which he may haveobtained.In either case, the capitalist partners have the right to damagesnote: the permission given must be express; hence, mere toleration by the partnership will not exempt the industrial partnerfrom liabilityDistinction betweenCapitalist PartnerandIndustrial Partnera.as to contributionCP – contributes money or propertyIP – contributes industry (mental or physical)b.as to prohibition to engage in other businessCP – cannot generally engage in the same or similar enterprise as that of his firm (possibility of unfair competition)IP – cannot engage in any business for himself (all his industry is supposed to be contributed to the firm)c.as to profitsCP – shares in the profits according to the agreement thereon; if none, pro rata to his contributionIP – receives a just and equitable shared.as to lossesCP – stipulation; if no stipulation, the agreement as to the profits; if none, pro rata contributionIP – exempted as to losses (as between the partners0; but is liable to strangers without prejudice to reimbursementfrom capitalist partnersArt. 1790- ContributionGeneral Rule:Partner shall contribute equal shares to the capital of the partnershipDownloaded by Anxy MD ([email protected])lOMoARcPSD|11905775
Exception:stipulation to the contraryAmount of contribution-it is permissible to contribute unequal shares, if there is a stipulation to that effectTo whom applicable-both to industrial as well as to capital partners undoubtedlyArt. 1791 – Obligation of Capitalist PartnerGeneral Rule:-a capitalist partner is not bound to contribute to the partnership more than what he agreed to contribute but in case ofimminent loss of the business, and there is no agreement to the contrary, he is under obligation to contribute anadditional share to save the venture.

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Term
Summer
Professor
professor_unknown
Tags
Trigraph, Anxy MD

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