(Partner liability to third parties)
1. Carmen and Dorothea run the Giru
Interior Design Centre in partnership. Carmen wants her daughter Ethel to join the business but Dorothea expresses doubts. It is finally agreed that Ethel will work in the business, will have her name on the letterhead but will not be entitled to make management decisions or share in the profits. Instead she will be paid a small weekly wage. Discuss the significance of this arrangement for the partnership and Ethel.