X.

LIMITED PARTNERSHIP
A. History- De Leon, Partnership, Agency and Trusts, 5th Ed., 1999, p. 293-295
B. Statutory Requirements- Arts. 1843-1844;
i.
Jo Chung Cang vs. Pacific Com. Co., 45 Phil. 142 (1923)
ii.
Coll. Of Int. Revenue vs. Isasi, 101 Phil 247 (1957)
iii.
Hungman Yoc vs. Kieng-Chiong-Seng, 6 Phil. 498.
C. Characteristics of Limited Partnership- Art. 1844, 1848, 1850, 1845, 1856,
1844(h), 1857
D. Differences from General Partnership
1. Liability- Art. 1816 vs. 1845, 1848, and 1856
2. Management- Arts. 1803, 1810(3) vs. 1851, and 1848
3. Contribution- Art. 1767 vs. 1845
4. Party to proceedings- Art. 1853, 1856
5. Assignment of partners interest- Art. 1812, 1813, 1804 vs. 1859
6. Name- Art. 1815 vs. 1846
7. Other business- Art. 1808, 1789 vs. 1866
8. Dissolution- Arts. 1860, 1830, 1831 vs. 1861
E. Rights, Powers, Restrictions and Liabilities of Partners
1. General Partner- Art. 1850- vested with entire control of the film business and
has all the rights and powers and is subject to all the liabilities and
restrictions of a partner in a partnership without limited partners. Acts in
1850 are acts of strict dominion or ownership.
2. Limited Partner- Art. 1851
a. Rights
i.
Exemption from Partnership Obligations- Art. 1843, 1848
ii.
Access to Partnership Books- Art. 1805, 1851(1)
iii.
Information on Partnership Affairs- Art. 1806, 1851(2)
iv.
Formal Accounting- Art. 1809, 1851(2)
v.
Right to Judicial Dissolution- Art. 1851(3)
vi.
Transaction of Business with Partnership- Art. 1854
vii.
Share of Profits or Compensation- Arts. 1851 and 1866
viii.
Return of Contribution- Art. 1851, 1857, 1st par., 1855, 1853
ix.
Assignment of Interest- Art. 1859
b. Liabilities- Art. 1858
i.
To Partnership- Art. 1858
ii.
To Partnership Creditors and other Partners- Art. 1845, 1846,
1847; 1848, 1854, 1844, 2nd par.
iii.
To Separate Creditors- Art. 1862
F. Cancellation or Amendment of Certificate
1. Cancellation- Art. 1864, 1st par.; 1865,
2. Amendment- Art. 1864, 1-10
G. Dissolution and Winding Up
1. Dissolution- Art. 1860, 1857, last par. DRICI(death, retirement, insolvency,
civil interdiction, insanity of a General partner); 1844(1,e)
a.
effect of dissolution- Art. 1864 (cancellation of certificate); 1857
last par. (return of contribution)
b.
order of distribution- Art. 1863