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Authority of partner contd

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA LW Exams › Authority of partner contd

  • This topic has 1 reply, 2 voices, and was last updated 8 years ago by AvatarMikeLittle.
Viewing 2 posts - 1 through 2 (of 2 total)
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  • December 23, 2017 at 11:16 am #424560
    Avatarhumai
    Participant
    • Topics: 757
    • Replies: 248
    • ☆☆☆☆☆

    Sir the last question which I asked on authority of partner which states that

    1)”Implied authority of partner can only be withdrawn if an express clause is stated along with third party notification for restriction on implied authority.”

    2)“The firm is not bound by the implied authority of a partner if the third party knows the partner has no express authority,

    Sir in the phrase 1 its mentioned that implied authority can be withdrawn if an express clause is stated along with 3rd party notification, however , in phrase 2 its mentioned that implied authority can be withdrawn if the 3rd party knows the partner has no express authority. What I mean to ask is that implied authority would be withdrawn if an express clause is stated, but the express clause will state what? would it state that partner has no implied authority or would it state that partner has no express authority? Also phrase 1 states that “express clause is stated” and phrase 2 states that “partner has no express authority”. Doesn’t it mean different thing?

    December 23, 2017 at 2:05 pm #424565
    AvatarMikeLittle
    Keymaster
    • Topics: 27
    • Replies: 23368
    • ☆☆☆☆☆

    “but the express clause will state what?”

    It would state something like “This person has no authority to enter contracts on behalf of the firm even though s/he is a partner of the firm”

    “Doesn’t it mean different thing?”

    No

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  • The topic ‘Authority of partner contd’ is closed to new replies.

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