What is the test for establishing a general partnership?

California, United States of America


The following excerpt is from Tsakos Shipping & Trading, S.A. v. Juniper Garden Town Homes, Ltd., 12 Cal.App.4th 74, 15 Cal.Rptr.2d 585 (Cal. App. 1993):

"(2) An act of a partner which is not apparently for carrying on of the business of the partnership in the usual way does not bind the partnership unless authorized by the other partners." ( 15009, emphasis added; Milazo v. Gulf Ins. Co. (1990) 224 Cal.App.3d 1528, 1538, 274 Cal.Rptr. 632.)

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