A partner of a firm that leases residential property to college students allows his daughter to live in a partnership-owned apartment.Based on this situation,this partner:

A) has a duty to relinquish his management rights for misusing partnership property.
B) has a duty to account for the use of partnership property.
C) has a duty to return the personal profits secured through this transaction.
D) has a right to be indemnified for payments made from his personal funds.

Question

Zybrea Knight · Accepted Answer

Final Answer : B, Explanation :  Partners have a duty to account for their use or disposal of partnership funds and partnership property,as well as their receipt of any property,benefit,or profit,without the consent of the other partners.For example,when a partner of a firm that leases residential property to college students allows his daughter to live in a partnership-owned apartment,the partner must collect rent for the partnership from his daughter or risk breaching the duty to account.

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