Question

1. What is licensing in international law?
2. What are some fact situations where strict liability would be imposed?
3. Is fault relevant under the theory of strict liability?
4. What determines how voting rights are apportioned in an LLC?
5. What could cause a limited partner in an LP to lose his or her limited liability?

Answer 1

1.

• Licensing is a business agreement involving two companies: one gives the other special permissions, such as using patents or copyrights, in exchange for payment.
• An international business licensing agreement involves two firms from different countries, with the licensee receiving the rights or resources to manufacture in the foreign country.

2.  

ABC Construction company is building a road through a rural area when it encounters a rocky promontory. Although the area is rather close to a housing district, they decide to blast away the rock. A child, playing in a yard two blocks away is hit by a piece of flying rock, causing a deep laceration. ABC Construction was just going about its business, and took the usual precautions for such blasting, so negligence isn’t an issue.

The activity of blasting, however, carries with it inherent dangers, including flying debris. The child’s parents may sue the construction company for the child’s medical bills, as well as his pain and suffering, as ABC Construction is strictly liable in the situation.

3.

Fault in strict liability cases is not an issue. Therefore, proving that an injury or damages occurred, and that they occurred as a result of the plaintiff’s activities or product, becomes the focal point of any civil lawsuit on a strict liability tort.

4.

Unlike corporations, wherein the majority of stock ownership can make major decisions, LLCs must state how their members distribute voting rights. Therefore, voting rights can be more important than majority ownership in some cases. For example, if there is no operating agreement or the agreement is absent any voting rights declarations, all members must unanimously consent to take operating, financial, investment, or asset purchase decisions. Regardless of ownership percentage in an LLC, the voting rights policy determines the direction and management of the company.

5.

• Limited partners are not personally liable. In return for giving up management power, limited partners get the benefit of protection from personal liability. This means that a limited partner can't be forced to pay off business debts or claims with personal assets. A limited partner, however, can lose his or her financial investment in the business.
• An LLP protects each partner from debts against the partnership arising from professional malpractice lawsuits against another partner. (A partner who loses a malpractice suit for his own mistakes, however, doesn't escape liability.) Forming a corporation to protect personal assets may be too much trouble, and some states (including California) won't allow licensed professionals to form an LLC.

Note: I tried my best in answering the question. It'd be appreciated if you leave an upvote.Thanks in advance.