Partnership Law: Overview
State laws govern how partnerships are strucutred and managed. There laws generally include:
- Each partner's authority within the partnership;
- How liable the partners are for the partnership's debts, obligations, and legal issues;
- How new partners can be added, or how current partners can leave the partnership;
- If ownership in the partnership can passed on to heirs or benefactors;
- How the partnership can be named, and;
- How the partnership will pay state and federal taxes.
Each state is different, however, so you should refer to the partnership law in your state for more details.