legal studies

Topics: Corporation, Limited liability partnership, Partnership Pages: 3 (1169 words) Published: June 16, 2014
A.Liability Under Partnership
Joe Roberts and Dr. Donald Jones have a general partnership over Tyler's Sports Bar & Grill. This is, "an association of two or more entities to carry on a business a co-owners " (Hodge, 400). Roberts and Jones did not create a partnership agreement when opening the business. Off of the record they agreed that Jones would supply all of the start up money for the business and remain a silent partner while Roberts ran and managed the Bar and Grill. Dan Davidson was a guest at Robert's establishment where he attained a blood alcohol content of .16 before killing Sara Smith with his vehicle. Because the family of Ms. Smith may be looking to sue both Joe Roberts and Dr. Jones for liability for the accident that Davidson was involved in.

While Roberts is the manager of Tyler's Sports Bar & Grill and is in charge of operation, both Roberts and Jones are general partners for the business. "Three rules for liability in a partnership are: 1) Every partner is liable for his or her own actions. 2) Every partner is liable for the actions of the other partners. 3) Every partner is liable for the actions of the employees of the business" (QuickMBA, 3). The rules of a partnership state that if one partner breaks a law, the other one is responsible for that as well. The issue that Roberts and Jones are faced with is liquor liability. "The cash bar provider is responsible for all activities, including age verification and addressing intoxicated guests. The cash bar provider assumes virtually all alcohol-related liability" (Caudle, 2). For Davidson to be able to reach a blood alcohol level of .16 he would have been visibly intoxicated. Roberts' and his employees continued to serve Davidson although the risks were visible. Davidson then left the business intoxicated and involved himself in an accident. This leaves both Joe Roberts and Dr. Donald Jones responsible for the actions of Dan Davidson as a third party. "Section 47 P.S. 4-497 provides as...
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