Stroud and Freeman are general partners in Stroud’s Food Center, a grocery store. Nothing in the articles of partnership restricts the power or authority of either partner to act in respect to the ordinary business of the Food Center. In November, however, Stroud informed National Biscuit that he would not be personally responsible for any more bread sold to the partnership. Then, in the following February, at the request of Freeman, National Biscuit sold and delivered more bread to the Food Center.
What are the arguments that Stroud is not liable to National Biscuit for the value of the bread delivered to the Food Center?
What are the arguments that Stroud is liable to National Biscuit for the value of the bread delivered to the Food Center?
Explain which arguments should prevail.
