Which of the following statements is true with respect to the obligations in a partnership relationship?
A)In the absence of agreement to the contrary,the partnership is dissolved when one of the partners serves the others with notice to the effect that he wishes to continue.
B)When a partnership is dissolved,its resources must be used to pay its debts and liabilities; if its assets are insufficient to do this,the partners must use personal resources to meet those obligations.
C)When a partnership is dissolved,each partner can only be forced by a creditor to pay a portion of the debt equal to his share of the capital contributed.
D)A partnership can be dissolved only by court order.
E)In the absence of agreement to the contrary,when one of the partners is injured,the partnership is dissolved.

Question

Quizplus · Accepted Answer

When a partnership is dissolved, its resources must be used to pay its debts and liabilities; if its assets are insufficient to do this, the partners must use personal resources to meet those obligations. This is in accordance with the principle of joint and several liability, which means each partner is individually responsible for the obligations of the partnership. The other statements are not true.

Which of the Following Statements Is True with Respect to the Obligations