Is a partnership solidarily liable for acts of a partner acting within their apparent authority?

In the context of partnership law, a partnership generally holds solidary liability for the acts of a partner that are conducted within their apparent authority. This principle stems from the foundational concept that partnerships operate as a collective entity where each partner's actions can bind the partnership itself.

When a partner acts within their apparent authority, they are performing duties and making decisions that a reasonable third party would believe are within the scope of their role in the partnership. This creates an expectation that the partnership will be responsible for obligations incurred during those actions. Thus, if a partner engages in business dealings or commitments that a third party reasonably assumes they have the authority to make, the partnership is indeed liable for those acts.

The concept of solidary liability means that the creditors can pursue any one partner or the partnership as a whole for the full amount of any debt arising from such actions, allowing for accountability and protection for those dealing with the partnership. This reasoning affirms the choice that the partnership is always solidarily liable for acts committed by a partner acting within their apparent authority.

The incorrect options fall short in recognizing the inherent responsibilities that come with the partnership structure, failing to capture the essence of shared liability and the legal protections extended to third parties engaging with partnerships.