Which of the following statements is correct with respect to the Partnership Act?
A)When in conflict,the terms of the federal Partnership Act override the provincial partnership acts.
B)The Partnership Act is enacted by the federal government and creates a uniform and cohesive system of partnership law for all of Canada.
C)The Partnership Act states clearly that a partnership is only created by specific agreement between the partners to that effect.
D)The Partnership Act sets out provisions that will govern the relations between the partners unless those partners have agreed otherwise.
E)The Partnership Act always overrides any provisions contrary to it set out by the partners in the partnership agreement.

Question

Quizplus · Accepted Answer

The correct statement about the Partnership Act is that it sets out provisions that will govern the relations between the partners unless those partners have agreed otherwise. Option A is incorrect because provincial partnership acts can have their own specific provisions that will apply in that province. Option B is also incorrect because the Partnership Act is enacted by each province and territory, not the federal government, meaning there are variations in partnership law across Canada. Option C is also incorrect because partnerships can also be formed through the conduct of the parties, not just by written agreement. Option E is incorrect because the partnership agreement can override certain provisions of the Partnership Act if the partners have agreed otherwise.

Which of the Following Statements Is Correct with Respect to the Partnership