1.Which of the following is true regarding joint ventures?

Multiple Choice

• Generally, joint ventures are taxed like corporations.

• If one of the members of a joint venture dies, the joint ventureis automatically terminated.

• Members of a joint venture are agents of the other members.

• A joint venture may be formed without drawing up a formalagreement.

• Courts frequently apply sole proprietorship law to jointventures.

2.

Which of the following was the result on appealin Colette Bohatch v. Butler & Binion, the casein the textbook in which the plaintiff, the partner in a law firm,sued after she was expelled from the partnership following hercomplaint that one of the other partners was overbilling aclient?

Multiple Choice

• That as a matter of public policy, the law firm was liable toher for damages.

• That under federal law, the law firm was liable to her fordamages because she was given insufficient notice of herexpulsion.

• That under state law, the law firm was liable to her for damagesbecause she was given insufficient notice of her expulsion.

• That she was properly expelled because the partner about whomshe complained was senior to her in seniority.

• That the law firm had a right to expel her regardless of herstatus as a whistleblower.

3.

A corporation commits an ultra vires act whenit _____.

Multiple Choice

• creates a contract outside the scope of its powers

• hires incompetent managers

• hires employees with criminal backgrounds

• refuses to declare dividends

• refuses to declare a stock split

Answer rating: 100% (QA)

1 Option 4th is true regarding JV A joint venture may be form... View the full answer