I)Effects of lunacy in operation of a partnership account.
Death, bankruptcy or mental incapacity of any one Partners cancels the mandate
irrespective of whether the account is in debit or credit. Therefore incase that the partners had a debt or Tracy had a debt that she borrowed under partnership name with the consent of the other partners ,the mandate that all the partners are held liable for the debt cancels immediately when they learns that Tracy has a mental incapacity and her liability as a partner is withdrawn thus the remaining partners are held liable for her debt.
II)Jane's retirement
Where no fixed term has been agreed upon for the duration of the partnership, any partner may determine the partnership at any time on giving reasonable notice of his intention to do so to all the other partners. Where the partnership has originally been constituted by deed, a notice in writing, signed by the partner giving it, shall be sufficient for this purpose. Subject to any agreement between the parties, the amount due from surviving or continuing partners to an outgoing partner or the representatives of a deceased partner in respect of the outgoing or deceased partner’s share is a debt accruing at the date of the dissolution or death. In the memorandum of association, the duties and rights of partners are listed thus losses and profits are shared equally among the partners. Also, incase of bank debt, Jane will still be liable for the debt as per the rights of partners until it is
fully settled.
NatalieR answered the question on February 15, 2022 at 06:32
- Briefly write short notes on Joint Accounts(Solved)
Briefly write short notes on Joint Accounts
Date posted: February 15, 2022. Answers (1)
- Write brief notes on a minor as an account holder, as a member of a partnership and as a joint account holder(Solved)
Write brief notes on a minor as an account holder, as a member of a partnership and as a joint account holder
Date posted: February 15, 2022. Answers (1)
- Distinguish between a holder, a holder for value and a holder in due course.(Solved)
Distinguish between a holder, a holder for value and a holder in due course.
Date posted: February 15, 2022. Answers (1)
- List several instances where banks have been held negligent when collecting cheques(Solved)
List several instances where banks have been held negligent when collecting cheques
Date posted: February 15, 2022. Answers (1)
- Define the term Endorsement and outline types of Endorsement giving examples in each.(Solved)
Define the term Endorsement and outline types of Endorsement giving examples in each.
Date posted: February 15, 2022. Answers (1)
- In which ways does crossing a cheque protect the drawer?(Solved)
In which ways does crossing a cheque protect the drawer?
Date posted: February 15, 2022. Answers (1)
- A cheque is a bill of exchange drawn on a specified banker and not expressed to be
payable otherwise than on demand. Discuss 4 different types...(Solved)
A cheque is a bill of exchange drawn on a specified banker and not expressed to be
payable otherwise than on demand. Discuss 4 different types of cheques
Date posted: February 15, 2022. Answers (1)
- Briefly Outline Features of a cheque(Solved)
Briefly Outline Features of a cheque
Date posted: February 15, 2022. Answers (1)
- Write short note on Types of Negotiable Instruments.(Solved)
Write short note on Types of Negotiable Instruments.
Date posted: February 15, 2022. Answers (1)
- Why are references required when opening an account?(Solved)
Why are references required when opening an account?
Date posted: February 15, 2022. Answers (1)
- Distinguish between a gratuitous bailee and a bailee for reward. (Solved)
Distinguish between a gratuitous bailee and a bailee for reward.
Date posted: February 15, 2022. Answers (1)
- List circumstance where a banker must cease to honor customers cheque on presentation(Solved)
List circumstance where a banker must cease to honor customers cheque on presentation.
Date posted: February 15, 2022. Answers (1)
- The creation of bailor/bailee relationship arises where a person called the bailee is given
control of the property of another person called bailor for a specific...(Solved)
The creation of bailor/bailee relationship arises where a person called the bailee is given
control of the property of another person called bailor for a specific purpose e.g., where a
customer of a bank deposits valuables in safe custody with the intention that on request
they will be returned to him/her. However, whether a banker is a bailee for reward or for free he/she must take the highest standard of care expected from person undertaking business of banking. Briefly explain the Liability attaching to bailee.
Date posted: February 15, 2022. Answers (1)
- Discuss Bank’s procedure on receipt of order or summons from high court.(Hint: Summon is also known as garnishee order)(Solved)
Discuss Bank’s procedure on receipt of order or summons from high court.(Hint: Summon is also known as garnishee order)
Date posted: February 15, 2022. Answers (1)
- In which ways may revocation/determination occur in the Power of attorney?(Solved)
In which ways may revocation/determination occur in the Power of attorney?
Date posted: February 15, 2022. Answers (1)
- Identify forms of Power of Attorney(Solved)
Identify forms of Power of Attorney
Date posted: February 15, 2022. Answers (1)
- Highlight circumstances for termination of the bank's authority to pay(Solved)
Highlight circumstances for termination of the bank's authority to pay
Date posted: February 14, 2022. Answers (1)
- Highlight the particulars required in opening and Conducting Bank accounts(Solved)
Highlight the particulars required in opening and Conducting Bank accounts
Date posted: February 14, 2022. Answers (1)
- Define the term Power of Attorney(Solved)
Define the term Power of Attorney
Date posted: February 14, 2022. Answers (1)
- Explain the term Garnishee Order(Solved)
Explain the term Garnishee Order
Date posted: February 14, 2022. Answers (1)