Subject to the effect of a partnership registration statement under § 425-1:

(1) Each partner is an agent of the partnership for the purpose of its business. An act of a partner, including the execution of an instrument in the partnership name, for apparently carrying on in the ordinary course the partnership business or business of the kind carried on by the partnership binds the partnership, unless the partner had no authority to act for the partnership in the particular matter and the person with whom the partner was dealing knew or had received a notification that the partner lacked authority.

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Terms Used In Hawaii Revised Statutes 425-112

  • Business: includes every trade, occupation, and profession. See Hawaii Revised Statutes 425-101
  • Partnership: A voluntary contract between two or more persons to pool some or all of their assets into a business, with the agreement that there will be a proportional sharing of profits and losses.
  • Partnership: means an association of two or more persons to carry on as co-owners a business for profit formed under § 425-109, a predecessor law, or comparable law of another jurisdiction. See Hawaii Revised Statutes 425-101
  • Person: includes any individual or entity. See Hawaii Revised Statutes 425-101
  • Statement: means a registration or annual statement filed under § 425-1, a statement of correction filed under section 425-1. See Hawaii Revised Statutes 425-101
(2) An act of a partner which is not apparently for carrying on in the ordinary course the partnership business or business of the kind carried on by the partnership binds the partnership only if the act was authorized by the other partners.