Partnership by Estoppel
Painter, William H.
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Abstract
"Wherever one of two innocent persons must suffer by the acts of a third, he who has enabled such third person to occasion the loss must sustain it."' This statement, repeated with tedious frequency in the cases, is both obvious and misleading in its simplicity, for of all the maxims of law based on notions of natural justice, this is one of the most difficult to apply. This discussion will explore it as applied in the law of partnership, so-called "partnership by estoppel." In addition, the liability of those who have retired from partnerships will be considered since, although this is not based on "partnership by estopper' in the strict sense of the term, the problems involved are analogous.