general partner

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Related to General partners: limited partners

general partner

n. 1) usually one of the owners and operators of a partnership, which is a joint business entered into for profit, in which responsibility for management, profits, and, most importantly, the liability for debts is shared by the general partners. Anyone entering into a general partnership (the most common business organization involving more than one owner) must remember that each general partner is liable for all the debts of the partnership. Furthermore, any partner alone can bind the partnership on contracts. For example, Joe Doright and Sam Sleazeball are partners in a retail store. Sleazeball runs up a large American Express card bill in the name of the company while on a toot in Las Vegas, contracts for purchase of $30,000 worth of maxi-dresses which are out of fashion, and then takes off with a girlfriend for Tahiti. Doright is responsible for the entire debt. 2) in the 40 states which recognize limited partnerships, the managing partner (or partners) operate the partnership and are liable for its debts beyond the value of the investments by limited partners. The general partners usually receive a management fee and share in profits. Limited partners are prohibited by law from participating in management, can lose more than their investments, and get less than the general partners of unusually high profits. (See: partnership, partner, limited partnership)

general partner

any partner in a partnership other than a limited partner.
References in periodicals archive ?
(107) That variation suggests that general partners and limited partners enter into these contracts in competitive markets.
2036(a)(2) could apply when the decedent was the general partner of the partnership.
In a typical limited partnership, one general partner manages and operates the business, while the limited partners contribute capital and share in the profits.
* Insulate the donor from the "control" argument, by making the spouse, a child (or, better yet, an independent third party) the entity's general partner or manager.
Reversing the decision of the Ninth Circuit, the Supreme Court unanimously held that the proper assessment of the partnership extended to the general partners. While the Court agreed with the Ninth Circuit that the partners could be considered taxpayers within IRC section 7701(a)(14), it focused on the language of section 6203, which states the "liability of the taxpayer" must be properly assessed.
Instead, the FLP's donors should retain enough assets to live on and should cede control of the assets by naming a spouse, heir or independent trustee as general partner. Distributions from the partnership should be proportionate to ownership.
Michael Steinmetz, Ph.D., a general partner of MPM Capital L.P., said, "MPM is very pleased with its role as the lead investor in BioXell's first financing round.
Survey responses were obtained by Ernst & Young's real estate private equity funds services group from 48 fund general partners and supplemented by information available and verifiable publicly.
In a limited partnership, only the general partner does not have limited liability.
The general partners specialize in finding, structuring, and managing equity investments in closely held private companies.
To lack continuity, domestic LLCs must provide by statute or agreement that unanimous consent is required to continue after the occurrence of a dissolution event, whereas limited partnerships require only the other general partners or a majority of all the remaining partners vote for its continuation.

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