A partner may be expelled from the firm on the fulfillment of the cond...
Explanation:
The statement states that a partner may be expelled from the firm on the fulfillment of the condition that the expulsion power is exercised. The question asks which of the given options is true regarding the conditions for expulsion. Let's analyze each option:
A: As given by express contract
- This means that the conditions for expulsion are explicitly stated in the partnership contract. If the partnership agreement includes provisions for expulsion, then a partner may be expelled based on those conditions.
B: By majority of partners
- This means that a partner may be expelled if a majority of the partners agree to it. In some partnership agreements, the power to expel a partner may be granted to the majority of the partners.
C: In absolute good faith
- This means that the power to expel a partner should be exercised in absolute good faith. Expulsion should not be based on personal biases or ulterior motives but should be in the best interest of the firm.
D: All of the above
- This option states that all of the above conditions (express contract, majority of partners, absolute good faith) are true regarding the conditions for expulsion.
Conclusion:
Based on the analysis, it can be concluded that the correct answer is option D: All of the above. The conditions for expulsion may vary depending on the partnership agreement, but generally, they are based on the express contract, majority of partners, and the requirement of acting in absolute good faith.
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