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June 25, 2019 at 11:11 pm
Please help me on this question in Kaplan Study text under Trading Partnerships case of Mercantile Credit Co v Garrod (1962). I don’t understand why the contract was binding on G when P and G had entered into a partnership to let lock up garages and repair cars NOT to buy and sell cars.
Thank you Sir.
June 26, 2019 at 6:56 am
Could the innocent third party have known the details of the partnership agreement? Did the activity of buying and selling cars fit nicely into what could reasonably be expected of a business that repairs cars?
That innocent party had acted in good faith with a partner acting apparently on behalf of the firm, apparently in the course of business and, in that situation, the acts of every partner bind the firm and the other partners
The only real exception is where one partner exceeds his / her authority and the other party is aware of that excess
Incidentally, this should have been posted on the Ask ACCA Tutor forum and not as a comment on a lecture!
June 26, 2019 at 9:13 pm
Thank you Sir, understood.
June 27, 2019 at 5:27 am
April 29, 2019 at 8:31 am
The full link to the case Evert v Williams is below
April 29, 2019 at 9:03 am
Thank you Ana!
It’s when you read cases like this one that you begin to see what fun the law paper is!
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