Fp 3201 - Study guides, Class notes & Summaries

BUSINESS ENTITY IMPLICATIONS FOR CONTRACTS Explain the creation, negotiation, and approval of contracts for the most common types of business entities. A sole proprietorship is the most basic type of business entity. When you establish a sole proprietorship, one person is personally liable for all of the company's profits and debts. The sole proprietorship is also one of the most common legal structures for small businesses. Many well-known businesses began as sole proprietorships and grew...

Step 4: Explain the effects of the type of business entity on the ability to contract for the sale of the business. The Buy-Sell Agreement allows you to specify how the company will be sold, what the minimum price will be, and under what terms it will be sold. (2017, Editor) This agreement can also cover what happens to the company if an owner dies or becomes disabled.

Strict Liability In tort law, it is axiomatic that in most cases some level of fault is necessary for tort liability to attach. In the case of negligence, causes of action, for example, plaintiffs must prove that defendants breached their duties to succeed, and exception applies in cases of strict liability towards strict liability. It means liability without fault where applicable, the defendant is liable for harm that his

Step 3: Explain how the income of each type of business entity is taxed, specifying whether the entity, the owner, or both, are taxed. Business income is classified as personal income by sole proprietors, partnership owners, and S corporation owners. The income of a C company is distinct from the personal income of its owners.

Consumer Protection, Former protection. Do you know everything involved in purchasing and paying for a product? When you purchase a product or service from a company, you enter into a binding agreement with them.

Step 2: Explain contract liability for the most common types of business entities. • Sole proprietorship This corporation does not provide for the separation or protection of personal and professional assets, which could become a problem if your company grows and more areas of your life become liable.• General partnership A partnership allows participants to share profits and losses and make decisions together inside the corporate structure. shall be held accountable for the actions and d...

Discuss the defenses to breach of contract and whether you think they are reasonable, effective, and fair.

Consumer Protection, Former protection. Do you know everything involved in purchasing and paying for a product? When you purchase a product or service from a company, you enter into a binding agreement with them.

Corporation C corporations, S corporations, B corporations, closed corporations, and nonprofit corporations are among the several types of corporations. C corporations, which are owned by shareholders, are taxed separately. Because C corporations can have an infinite number of shareholders, many larger companies choose this tax type. The law views a corporation as distinct from its owners, with legal rights that are separate from those of the owners. It has the ability to sue and be sued, acqui...

Examples of Torts Trespass, assault, battery, negligence, products liability, and intentional infliction of emotional distress are all examples of torts. There are also distinct areas of tort law, such as nuisance, defamation, invasion of privacy, and economic torts.