Chapter 28 Chapter 29 Chapter 30 Chapter 31 Chapter 32 Chapter 33 Chapter 34 Chapter 35 Chapters 28 29 Agency Employee Respondeat Superior Indemnification 3 Duties of Principal to Agent Contracts Duties of Agent to Principal Relationship of Principal and Agent Common Law contract is an agent to your principal employer Principal is liable for acts of the Agent The employer has your back 2 Reimbursement 3 Indemnification 1 Compensation 2 Reimbursement 3 Indemnification 1 Fully disclosed know there is a principal and their Identity 2 Partially disclosed know there is a principal but not thier identity 3 Undisclosed don t know there is a principal nor their identity highest degree of trust and loyalty in law Fiduciary Agency law is only important with respect to contract and tort liability with 3rd parties Tort Liability course and scope of employment Respondeat Superior Indemnification person authorized to act on another s behalf Authority of agent to act on principals behalf in medical financial or other decisions Agent Power of Attorney For sure Test Questions Last 2 questions answer is D How does a partnership end bankruptcy negates all contracts Chapters 30 31 Partnership 4 rules Sole Proprietorship General Partnership Partnerships definition 1 Unless otherwise agreed 2 absent of agreement to contrary 3 each party has a right to 4 each party has a right to view the books 3 stages 1 Dissolution 2 Winding up liquidation distribution 3 Termination most people use this for its simplicity agency relationship with a few exceptions 2 corporations can form a partnership 2 Partially disclosed know there is a principal but not thier identity Chapter 32 33 34 35 Limited Partnership Corporation Advantages of a Corporation LP LLC and Corporations one general and one limited partner creature of statute state only doesn t exist without formal organization have to file certificate of corporation Value of Shares continuity of existence Risk for shareholders Disadvantages of a Corporation expensive formal cumbersome Classification of a Corporation 1 Public or Private 2 Profit or Nonprofit 3 Publically Traded or Privately held 4 Subchapter C vs Subchapter S tax rates Has the benefits of a partnership and corporation Owned by shareholders Shareholders elect board of directors Board appoints officers agents Officers hire employees equity funding debt funding corporate borrowing return on investment based on of ownership Debt creating instrument such as a promissary note LLC Corporation Structure 3 ways to fund a corporation Dividend Debenture Stock Bond Bylaws Attributes of a Corporation single member corp LLC provides expertise 5 Domestic foreign or alien Debt creating instrument such as a promissary note