Rose Jean R. Oropa III-ABSA Ma. Hadassa O. Foliente III-ABSA Assignment no. 2 (by partners) 1. What is a li ited partnership!

A partnership "or ed by t#o or ore persons$ ha%in& as e bers one or ore &eneral partners and one or ore li ited partners. 'he li ited partners as s()h shall not be bo(nd by the obli&ations o" the partnership. *. What are the re+(isites in the "or ation o" a li ited partnership! 'he )erti"i)ate or arti)les o" li ited partnership (st be si&ned and s#orn to by all the partners. 'he )erti"i)ate (st be re&istered in the o""i)e o" the Se)(rities and ,-)han&e .o ission. /. What is the e""e)t o" the non-"(l"ill ent o" the said re+(isites! 'he partnership #ill not be )onsidered as a li ited partnership$ b(t as a &eneral partnership$ in #hi)h all the e bers are liable to the e-tent o" their separate property. 0. What ay be )ontrib(ted by a li ited partner! ay )ontrib(te )ash or property$ b(t not ser%i)es.

A li ited partner

1. What is the )onse+(en)e o" the non-in)l(sion o" the na e o" a li ited partner! Stri)t )o plian)e #ith the le&al re+(ire ents is not ne)essary. 2nder Arti)le 1300$ s(bstantial )o plian)e in &ood "aith is s(""i)ient. Hen)e$ there is still a li ited partnership "or ed. 4. What )onstit(tes5 a. 'a6in& part in the )ontrol o" the b(siness! Sele)tion o" #ho #ill be the ana&in& partner. S(per%ision o%er a s(perintendent o" the b(siness o" the "ir . b. 7ot ta6in& part in the )ontrol o" the b(siness! Mere dealin& #ith a )(sto er. Mere )ons(ltation on one o))asion #ith the &eneral partners. 8. When ay additional li ited partners be ad itted!

A))ordin& to Art. 1309$ a"ter the "or ation o" a li ited partnership$ additional li ited partners ay be ad itted (pon "ilin& an a end ent to the ori&inal )erti"i)ate in re+(ire ents o" Art. 1341.

3. What are the ri&hts o" a li ited partner! 'he ri&hts o" a li ited partner are the "ollo#in&5 'o re+(ire that the partnership boo6s be 6ept at the prin)ipal pla)e o" b(siness o" the partnership$ and to inspe)t and to )opy any o" the at any reasonable ho(r on a b(siness day. 'o de and tr(e and "(ll in"or ation o" all thin&s a""e)tin& the partnership. 'o de and "or al a))o(ntin& o" the a""airs o" the partnership #hene%er it is :(st and reasonable. 'o as6 "or dissol(tion and #indin& (p by )o(rt de)ree. 'o re)ei%e a share o" the pro"its or other )o pensation by #ay o" in)o e. 9. May a person be both a &eneral and a li ited partner at the sa e ti e! ;es$ a person ay be a &eneral partner and a li ited partner in the sa e partnership at the sa e ti e$ pro%ided that this "a)t shall be stated in the )erti"i)ate si&ned$ s#orn to$ and re)orded in the o""i)e o" the Se)(rities and ,-)han&e .o ission. 1<. May a li ited partner loan "ir ! oney and transa)t other b(siness #ith the

;es$ be)a(se (nder Art. 1310$ a li ited partner is not prohibited "ro 5 a. =ratin& loans to the partnership. b. 'ransa)tin& other b(siness #ith it. ). Re)ei%in& a pro rata share o" the partnership assets #ith &eneral )reditors i" he is not also a &eneral partner. 11. What is the r(le as to pre"eren)e o" so e li ited partners o%er other li ited partners! 'he partners in a li ited partnership ay a&ree that one or ore li ited partners ay be &i%en priority o%er other li ited partners. In the absen)e o" s()h state ent in the )erti"i)ate$ e%en i" there is an a&ree ent$ all e bers shall stand on e+(al "ootin&. 1*. May li ited partners re)ei%e pro"it or )o pensation! ;es$ a li ited partner ay re)ei%e "ro partnership the share o" the pro"its or the )o pensation by #ay o" in)o e stip(lated "or in the )erti"i)ate> pro%ided that a"ter s()h pay ent is ade$ #hether "ro property o" the partnership or that o" a &eneral partner$ the partnership assets are in e-)ess o" all liabilities o" the partnership e-)ept liabilities to li ited partners on a))o(nt o" their )ontrib(tions and to &eneral partners. 1/. When ay )ontrib(tions o" li ited partners be ret(rned!

A li ited partner ay de and as a atter o" ri&ht the ret(rn o" his )apital )ontrib(tion5 a. On dissol(tion o" the partnership. b. 2pon arri%al o" the date spe)i"ied in the )erti"i)ate o" its ret(rn.

). I" no ti e is "i-ed$ a"ter siother partners.

onths noti)e in #ritin& is &i%en to all

10. What are the )a(ses o" dissol(tion o" a li ited partnership! ?eath o" a &eneral partner Retire ent o" a &eneral partner Insol%en)y o" a &eneral parter .i%il interdi)tion o" a &eneral partner Insanity o" a &eneral partner

11. ,-plain the )on)ept o" @)har&in& the interest o" a li ited partnerA. It eans that the separate )reditor o" a li ited partner ay &o to )o(rt and as6 "or an order )har&in& the interest o" the li ited partner in the partnership "or his (nsatis"ied )lai s. 14. What is the order o" pay ent in settlin& a))o(nts a"ter dissol(tion! O(tside )reditors and li ited partners (nless partnership is insol%ent Bi ited partnerCs share in the pro"it Bi ited partnerCs ret(rn o" )apital )ontrib(tion =eneral partners aside "ro pro"its and )apital =eneral partnerCs pro"it =eneral partnerCs ret(rn o" )apital )ontrib(tion 18. When shall the )erti"i)ate be )an)elled or a ended! a. 'he )erti"i)ate shall be )an)elled #hen the partnership is dissol%ed or all li ited partners )ease to be s()h. b. 'he )erti"i)ate shall be a ended #hen5 'here is a )han&e in the na e o" the partnership or in the a o(nt or )hara)ter o" the )ontrib(tion o" any li ited partner. A person is s(bstit(ted as a li ited partner. An additional li ited partner is ad itted. A person is ad itted as a &eneral partner A &eneral partner dies$ retires or be)o es insol%ent or insane$ or is senten)ed to )i%il interdi)tion and the b(siness is )ontin(ed (nder Art. 134< 'here is a )han&e in the )hara)ter o" the b(siness o" the partnership 'here is a "alse or erroneo(s state ent n the )erti"i)ate 'here is a )han&e in the ti e as stated in the )erti"i)ate "or the dissol(tion o" the partnership or the ret(rn o" a )ontrib(tion A ti e is "i-ed "or the dissol(tion o" the partnership$ or the ret(rn o" a )ontrib(tion$ no ti e ha%in& been spe)i"ied in the )erti"i)ate 'he e bers desire to a6e a )han&e in any other state ent in the )erti"i)ate in order that t shall a))(rately represent the a&ree ent a on& the 13. What are the re+(isites o" the "ore&oin&! Re+(isites "or a end entD)an)ellation It (st be in #ritin&

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(st be si&ned and s#orn to by all (st be "iled #ith the S,.

e bers