Reference no: EM132830632

Limited liability business entities are charted by the federal government.

1. All partners in a registered partnership have limited liability.
2. Business entities are legal persons that enjoy many of the same rights that people do.
3. If you instruct another person to act on your behalf, you may be responsible for that person's actions even if he or she is not your employee.
4. Once a corporation is formed, the owners of the corporation have limited liability even if they do not maintain separate bank accounts or if they use business funds for personal expenses.
5. If a manager of a business also has other, independent business ventures, and as manager she causes her employer to give valuable contracts to one of her other ventures, she is required to disclose her interests to her employer.
6. If a business hires an independent contractor to complete job, the independent contractor has implied authority to take any actions necessary-such as hiring an assistant-to complete the job as described by the business's representatives.
7. In a corporation, articles and bylaws may contain provisions that contract around directors' duties of care and loyalty.
8. In a limited liability company, the operating agreement may contain provisions that contract around members' duties of care and loyalty.
9. In a limited partnership, the partnership agreement may contain provisions that contract around partners' duties of care and loyalty.
10. Directors of a corporation must use, in making decisions, the care which ordinarily careful and prudent people would use in similar circumstances.
11. Under the Delaware General Corporation Law, a board of directors cannot amend the bylaws without shareholders' consent.
12. Though the management of a corporation is vested in the board of directors, the board may delegate management authority to a committee within the board, even if only a small minority of directors constitutes the committee.
13. A director will not be held liable for breach of the duty of care just because the director is uninvolved with the business.

TRUE AND FALSE ANSWEER TRUE AND FALSE FOR ALL OF THE QUESTIONS