Fact Pattern 27-2 (Questions 18-20 apply)
Brad, Carlos, and Dora are general partners in Eastside Physicians, a medical clinic.
-Refer to Fact Pattern 27-2.Brad's dissociation from the firm results in
A) the automatic termination of the firm's legal existence.
B) the partnership's buyout of Brad's interest in the firm.
C) the immediate maturity of all partnership debts.
D) the temporary suspension of the partnership's business.

Question

Quizplus · Accepted Answer

Brad's dissociation from the firm results in the partnership's buyout of Brad's interest in the firm. When a partner dissociates from a partnership, the partnership may continue to exist and carry on business. The partnership must purchase the dissociated partner's interest in the partnership, unless otherwise agreed upon by the remaining partners.

Fact Pattern 27-2 (Questions 18-20 Apply)