The characteristic that means if a partnership is unable to pay its obligations all general partners are individually liable is known as:
A) limited life.
B) unlimited liability.
C) limited liability.
D) mutual agreement.

Question

Quizplus · Accepted Answer

Unlimited liability means that each general partner in a partnership is personally responsible for all the partnership's debts and obligations, without limit. This means their personal assets can be used to cover the partnership's liabilities.

The Characteristic That Means If a Partnership Is Unable to Pay