Partnership

A contract between two or more persons to unite their property, labor or skill in pursuit of some joint or lawful business and to share the profits in a certain specified proportion.

General partnership is one in which all partners are jointly and severally liable for the debts of the partnership, regardless of the amount of an individual partner’s actual investment in the partnership.

Limited partnership is one in which limited partners are liable for the debts of the partnership only to extent of their investments in the partnership, while general partners are jointly and severally liable for the full amount of such debts.