Social Studies, 27.07.2021 18:00 ygrant03
Brett, Jenna, and Jill form a partnership, Parkside Realty, to buy and sell real estate. To alleviate a debt that she owes to Wallace, Jill transfers her partnership interest to Wallace. After the transfer to Wallace takes place, one of Parkside Realty's clients sues the partnership in relation to a real estate transaction brokered by Parkside Realty. The client names Parkside Realty and all individual partners individually in the suit. If the client is successful and Parkside Realty does not have enough partnership assets to cover the judgment against it, will Wallace be personally liable for Parkside's obligation?
Answers:
A. Yes, but only if the client also personally named Wallace in the suit.
B. Yes, because the cause of action arose after Jill transferred her partnership interest to Wallace.
C. No, because partners are not personally liable for the obligations of a partnership.
D. No, because Wallace is not liable for any of Parkside Realty's obligations.
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