Chapter 13 Business Organization

Submitted By tiff9845
Words: 2578
Pages: 11
Open Document
CONCEPTS - FINAL

CHAPTER 13 – BUSINESS ORGANIZATIONS

1. BUSINESS ORGANIZATIONS - WRITING/CERTIFICATE REQUIREMENT
2. BUSINESS ORGANIZATIONS - LIMITED LIABILITY
3. GENERAL PARTNERSHIPS - PARTNERS' RIGHTS AND DUTIES
4. LIMITED PARTNERSHIPS - CHARACTERISTICS
5. PIERCING THE CORPORATE VEIL
a. If the court pierces the corporate veil, the shareholders have unlimited personal liability for the corporate debts.
6. LIMITED LIABILITY COMPANIES – CHARACTERISTICS
a. LLC’s are treated like a corporation for liability purposes
b. LLC’s are treated like a PARTNERSHIP for tax purposes
c. An LLC is different from a general or limited partnership in that if an LLC is properly formed, all of the members of an LLC can limit their personal liability to third parties

CHAPTER 14 – EMPLOYMENT RELATIONSHIPS
7. * AGENT'S DUTIES TO PRINCIPAL
a. Loyalty- to place the principal’s interests above the Agent’s interests, not allowed to compete with the principal without permission.
b. Obedience- to perform in compliance with the Principal’s instructions
c. Reasonable care and skills- to perform as is “reasonable under the circumstances”
d. Accounting- account for the funds and property of the Principal
e. Inform- as to all facts of the Agency purpose
8. PRINCIPAL'S DUTIES TO AGENT
a. Cooperation- with the agent fulfilling the agency purpose
b. Compensation- for services rendered
c. Reimbursement- of “reasonable” expenses
d. Safe working conditions-as required by law
e. Indemnification (legal liability)-for legal liabilities incurred by the agent.
9. AGENCY - HOW IS ONE CREATED
1) A contract between Principal and Agent establishing an agency relationship does NOT need to be in writing or supported by consideration
10. AGENCY - HOW IS ONE TERMINATED
1) Unless otherwise agreed, either party may terminate at-will
2) Death by either Principal or Agent terminates the Agency by operation of law
11. AGENT'S AUTHORITY - ACTUAL/APPARENT
1) ACTUAL- Authority expressly communicated from the principal to the agent; what the principal tells the agent he may do
a. Actual authority- may be oral or written
b. Implied authority- what the agent “reasonably” believes he can do to accomplish a task given to him by his principal
i. An agent who signs a contract beyond their actual authority, are personally liable on the contract
2) APPARENT- the authority the agent appears to have based on the manifestation of the principal to the 3rd party
a. MANIFESTATION: words, actions, appearances; any kind of communication to a third party that can be traced back to the principal giving authority to the agent.
12. EMPLOYMENT-AT-WILL – CONCEPT AND EXCEPTIONS
Exceptions
a. FREE MARKET CONCEPT-
1. Employers: may hire and fire who they want
2. Employees: may work at will or quit when they want
b. Exceptions limiting the termination of employees:
1) Refusing to commit an illegal act
2) Performing a public duty (jury duty)
3) Public right (filing workers comp)
4) Whistle blowing
13. TORT LIABILITY OF PRINCIPALS AND AGENTS
a. Agents who commit torts during their employment are liable for that tort, even if they were directed to do the tort by their Principal
b. An employer is NOT liable for the torts of an independent contractor he has hired
c. An independent contractor is not an employee
14. DISCLOSED AND UNDISCLOSED PRINCIPALS - LIABILITY OF PRINCIPAL AND AGENT
1) DISCLOSED PRINCIPLE- is liable to a third party or the agent for the contract of the agent of the agent had actual authority
2) APPARENT AUTHORITY- the disclosed principle is liable
3) UNDISCLOSED PRINCIPLE- A principal is undisclosed when a third party does not even know that the principal exists; that is, it believes the agent is acting on behalf of himself
a. An agent is personally liable on a contract she enters into with a 3rd party on behalf of an undisclosed Principal, unless the 3rd party elects to hold the principal liable

CHAPTER 15 – THE REGULATORY PROCESS
Show More

Related Documents: Chapter 13 Business Organization

Exam 3 Essay

Steven Schapiro Exam 3 MBA 625 Dr. Dandeo 1) Discuss the impact of blogs and online social networks on companies and how companies should respond? Blogs and social networks have become a huge part of the reputation companies build, the marketing process, as well as platforms for consumers to discuss companies products. Blogs and online social networks have several pros and cons, which are associated to them with the company in mind. Social networking includes sites that…

Words 1037 - Pages 5

Exam 3 Essay

PSY 360 Exam 3 Study Guide Chapter 8 Comparing Cognitive & Behavioral Views The cognitive and behavioral views differ in their assumptions about what is learned. According to the cognitive view, knowledge & strategies are learned, and then changes in knowledge & strategies make changes in behavior possible. According to the behavioral view, the new behaviors themselves are learned. Both behavioral & cognitive theorists believe reinforcement is important in learning, but for different reasons.…

Words 3038 - Pages 13

Exam 3 Essay

Things that characterize ownership and responsibility: 1. Taking responsibility for certain tasks. 2. Knowing what our job is and what isnt. 3. Confusion of responsibility and ownership in out lives is a problem of boundaries  Definition of boundaries Helps us define what is ours and what is not ours and what we are responsible for and what we aren't. Shows me where I end and someone else begins, leads me to a sense of ownership.  Origin of boundaries Concept of boundaries comes from…

Words 781 - Pages 4

EXAM 3 CHECKLIST Essay

MGMT 502 EXAM 3 Topics List Chapter 13 – Marketable Securities Be familiar with the differences between held-to-maturity, trading, and available-for-sale securities (what are the implications of classifying a security as one or the other) Be able to make the following journal entries associated with held-to-maturity, trading, and available-for-sale securities: 1. Issuance 2. Change in fair value 3. Receipt of interest or dividends 4. Sale of security for a gain or loss Understand the difference between…

Words 598 - Pages 3

Exam 3 Notes Essay

***Don’t forget that on 03 Oct, he transitioned to “information covered on Exam 3” ­­­ starting with “How to construct a plasmid” http://quizlet.com/54570964/flashcards Steps to construct a plasmid 1. Amplify the gene of interest with PCR 2. Use Restriction Digest Enzymes to cut the gene and insert into plasmid 3. Insert plasmid into bacteria of interest 4. By using chemical transformation, electroporation (electroshock), conjugation, or bacteriophage 5. Grow bacteria on selective media…

Words 2328 - Pages 10

Marketing Exam 3 Essay

Summer 2011 Distance Learning Exam 3 Do not open this booklet until instructed to do so. Darken the correct answer to each of the questions on the answer sheet. If you have any questions please ask the proctor. When you have completed the exam, hand in the exam and answer sheet to the proctor. A 1. Which of the…

Words 3721 - Pages 15

Exam 3 Study Essay

Allonge- when you attach a blank piece of paper to a check that is so full of endorsements it cant hold anymore and you need to continue endorsements. Fraud in the execution/inception contract is void Fraud in the inducement voidable contract Parole evidence rule has nothing to do with whether the contract is void, voidable or illegal. Buyer breeches contract in order for seller to prove money damages then the contract price was greater than the fair market value. Land had fair market value…

Words 1297 - Pages 6

Essay on Exam 3 Review

over time (can survive shock) Sustainability Stages: 1) Compliance as opportunity (strategies for sustainability start with a legal threat) 2) Sustainable value chains (Improve efficiency throughout the value chain--supply chains, operations) 3) Sustainable offerings (Develop or modify products/services with sustainability in mind) 4) New business models (Find new ways of creating & capturing value that leverage sustainability) 5) Next practice platforms (Reconsider the ways we do business…

Words 743 - Pages 3

Exam 3 Homework Essay

independent reactions. Capturing energy from sunlight (dependent) Using energy to make ATP and NADPH (dependent) Using ATP and NADPH to power the synthesis of carbohydrates from CO2 2. Which has more energy shorter wavelengths or longer wavelengths? short 3. What are pigments? List the pigments found in plants and indicate the pigment most important for photosynthesis. Carotenoids– Assist chlorophyll by capturing energy in a wavelength not efficiently absorbed by chlorophylls Chlorophylls (most important)…

Words 1364 - Pages 6

Exam 3 Notes Essay

media and then another in the other media) (EX: battery strong on TV and affordable on radio) Ads for competitors’ product/service Non-advertising media and mentions of your product/service (this could include news stories, magazines stories) *1st 3 are for creating your campaign *all 4 make up IMC (integrated marketing communication) Campaigns Many separate ads (necessity for all ads to be seen as a group) Need continuity Relationship between ads You will have a lot of different elements…

Words 4525 - Pages 19