Business cases/acts

Question 1

Unless specified otherwise what acts govern partnerships?

Answer 1

partnership act of 1890

Question 2

What UK legislation governs the formation, management, and duties of companies and directors?

Answer 2

Companies Act 2006 – It sets out the legal framework for creating and running companies in the UK, including directors’ duties, shareholder rights, and company reporting.

Question 3

What UK legislation governs the formation and operation of limited liability partnerships?

Answer 3

Limited Liability Partnerships Act 2000 – It allows businesses to operate as LLPs, combining the flexibility of a partnership with limited liability for members.

Question 4

What case established the principle of separate legal personality for companies in UK law?

Answer 4

Salomon v Salomon & Co Ltd (1897) – Mr. Salomon formed a company and sold his business to it. When the company went insolvent, creditors tried to sue him personally. The court ruled the company was a separate legal entity, so Salomon wasn’t personally liable.