LoriCA

Managerial titles for limited partnership

5 posts in this topic

Are typically-corporate types of titles allowed in a limited partnership? For example, what restrictions might there be if we choose to call the individual who is responsible for manufacturing operations "Vice President of Manufacturing"? Does the title imply any legal "authorities" of that individual within the partnership?

Share this post


Link to post
Share on other sites

A partnership can also have officers and employees, just as any corporation.  Their titles are essentially meaningless within the organization.  However, their title may imply to persons outside the organization the individual has authority to bind the partnership to contracts and other obligations.  The principle is called "implied authority."

Share this post


Link to post
Share on other sites
4 minutes ago, RetiredinVA said:

A partnership can also have officers and employees, just as any corporation.  Their titles are essentially meaningless within the organization.  However, their title may imply to persons outside the organization the individual has authority to bind the partnership to contracts and other obligations.  The principle is called "implied authority."

Thank you! That's what I was afraid of so, presumably, we would need to define limitations of signing authorities to avoid that.

Share this post


Link to post
Share on other sites

And let anyone who deals with the partnership know the limitations of the authority, or else you may wind up with an "implied authority" situation.

Share this post


Link to post
Share on other sites
3 hours ago, LoriCA said:

Are typically-corporate types of titles allowed in a limited partnership?

 

Allowed?  Are you asking if there's a law that prohibits the use of titles like "president," "secretary," etc. for individuals who manage the affairs of a limited partnership?  If so, the answer is no.  You can call yourself "Exalted Poobah" for all the law cares.  I agree with "RetiredinVA's" cautionary comments about implied authority.  You also might want to peruse this article to gain a basic understanding of the concept of implied/apparent authority (because your follow up comment implies that you might not understand it).

Share this post


Link to post
Share on other sites

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!


Register a new account

Sign in

Already have an account? Sign in here.


Sign In Now