Section 14: Liability of partnership for partner's misapplication of money or property
74 words·~1 min read·
/ma/part-i/title-xv/chapter-108a/14A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
Section 14. The partnership is bound to make good the loss:
(a)Where one partner acting within the scope of his apparent authority receives money or property of a third person and misapplies it; and
(b)Where the partnership in the course of its business receives money or property of a third person and the money or property so received is misapplied by any partner while it is in the custody of the partnership.