Английский язык для юристов. Предпринимательское право

nonpartner, unless the other partners agree to the transfer; partners' rights in partnership property are not subject to attachment (i.e., taking a person's property and bringing it into the custody of the law) for personal debts or claims against the partners themselves; a deceased partner's interest in real property held by the partnership passes to the surviving partners; and partners' rights in specific partnership property are not subject to any allowances or rights to widows, heirs, or next of kin.

A partner's interest in the partnership is his or her share of profits and surplus. Surplus includes any funds that remain after a partnership has been dissolved and all other debts and prior obligations have been settled. Partners share profits and surplus equally, unless the articles of partnership specify otherwise.

All partners have equal rights in the management of partnership business. Participating is not limited by the proportional value of the partner's contribution. Any differences arising as to ordinary matters connected with the business may be decided by a majority vote of the partners.

A fiduciary is a person who has a duty to act for the benefit of another. Because of their joint undertaking, partners are fiduciaries to one another. As a fiduciary, each partner has a duty to act in the highest good faith, fairness, and trust when conducting partnership business.

Partners are jointly liable on all contractual obligations of the partnership. This means that in a suit brought jointly against all partners, each partner is a defendant. A judgment must be against all or none of the partners, and a release of one partner releases all of them.

A partnership comes to an end by way of a two-part process: dissolution and winding up. Dissolution of a partnership as a change in the relation of the partners caused by any partner ceasing to be associated in the carrying on of the business. Dissolution is to be distinguished from the winding up and termination of the partnerships, which effectively puts it out of business. Winding up involves completing all ongoing business and selling the partnership property to obtain cash to satisfy all debts owed by the firm. If anything is left, it is distributed to the partners according to the partnership agreement or the rules set down by regulations.

In general, partnerships dissolve by the acts of the partners, by operation of law, and by court decree.

Limited partnerships are defined as a partnership formed by two or more persons… having one or more general partners and one or more limited partners. General partners take an active part in the management of the firm and have unlimited liability for the firm's debts. Limited partners are nonparticipating investors. They contribute cash, property, or services to the partnership but do not take part in the management of the firm.

The general partner can accumulate additional capital without admitting another general partner who would be entitled to management rights. Thus, the general partner maintains control while strengthening the firm's treasury. Limited partnership means limited liability, which in its turn means that the limited partner's nonpartnership property cannot be used to satisfy any debts owed by the partnership. Thus, limited partners receive a return on their investment while risking only that original investment.

Exercise 1. Comprehension questions:

1. Explain the term partnership.

2. Identify the essential elements of a partnership.

3. How are the profits and losses shared between the parties?

4. Explain why unlimited liability is perhaps the most unattractive feature f a partnership.

5. What may protect the partners against loss of non-partnership property?

6. How can be partnership formed?

7. What are the requirements for partnership agreements?

8. Explain the term capital contribution.

9. What are the ways of partnership's dissolution?

Exercise 2. Find in the text English equivalents to the following:

Ежегодная выплата; цессионарий; переуступать; доверенное лицо; стоимость «фирмы»; компаньон- вкладчик, компаньон с ограниченной ответственностью; товарищество на вере; бессрочное товарищество; активное сальдо; овладение.

Exercise 3. Consult recommended dictionaries and give words or phrases to the following definitions:

Полное товарищество; товарищество на вере; учредительный договор; преобразование хозяйственных товариществ; складочный капитал; ответственность участников; внесение вкладов; ведение дел товарищества; изменение состава участников; передача доли участника.

Exercise 4. Be ready to talk on one of the following topics:

Describe the evidence used by the courts to determine whether a partnership exists.

1. Distinguish between property belonging to the partnership and property belonging to the individual partners.

2. Outline the various rights, duties, and liabilities of partners.

3. Determine the ranking of partnership liabilities in settling accounts after the dissolution of a partnership.

4. Compare the advantages of a limited partner in a limited partnership to those of a general partner.

Exercise 5. Make up your own dialog on the case: A partnership, Hartigan and Dwyer, operates a department store in Troy, New York, while a partnership, Hartigan, Dwyer, and O'Brien, operates a department store in Albany, New York. An insurance company issued a policy in the name of «Hartigan and Dwyer, department store merchant, Troy, New York» insuring against liabilities arising from the operation of a delivery truck. The truck, while being used for deliveries from Albany store operated by Hartigan, Dwyer, and O'Brien, strikes and kills a child. If Hartigan and Dwyer are called upon individually to pay a tort judgment, are they protected by the policy?

Unit 18 Corporation Акционерное общество

Акционерным обществом (глава 4 ГК РФ) признается общество, уставный капитал которого разделен на определенное число акций; участники акционерного общества (акционеры) не отвечают по его обязательствам и несут риск убытков, связанных с деятельностью общества, в пределах стоимости принадлежащих им акций. Отличительными чертами акционерного общества (далее – АО) являются: 1) деление уставного капитала на доли (вклады) участников (акционеров) равного размера; 2) доли участия в уставном капитале воплощаются в специальные ценные бумаги – акции, из номинальной стоимости которых составляется этот капитал; 3) ограниченность для акционеров риска убытков, связанных с деятельностью АО, стоимостью принадлежащих им акций.

List of key terms and word combinations:

– articles of incorporation – договор об учреждении корпорации

– bylaws – правила внутреннего распорядка (принимаемые правлением фирмы)

– cash dividend – дивиденд, выплаченный наличными

– certificate of authority – документ, удостоверяющий какое-либо право

– certificate of incorporation – разрешение (государственного органа) на создание корпорации

– close corporation – закрытая акционерная корпорация (с ограниченным числом участников, не имеющих права продавать свои акции без согласия других акционеров)

– common stock – обычные (обыкновенные) акции

– сorporation by estoppel – корпорация, существование которой подтверждено судом на основании неопровержимых фактов

– dividends – дивиденды

– incorporators – учредители

– novation – новация; перевод долга; цессия прав по обязательству

– preferred stock – привилегированные акции

– private corporation – частно-правовая корпорация

– quasi-public corporations – квазигосударственная корпорация (действует как частное предприятие, но имеет от государства привилегии)