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LSDefine

Simple English definitions for legal terms

partnership distribution

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A quick definition of partnership distribution:

Partnership distribution is when a partnership pays one of its partners with money or property from the earnings or as an advance against future earnings. It can also be a payment of the partners' capital in partial or complete liquidation of the partner's interest. It's like when you and your friend start a lemonade stand together, and you split the money you make at the end of the day. That's a partnership distribution!

A more thorough explanation:

Definition: Partnership distribution refers to a payment made by a partnership to one of its partners. This payment can be in the form of cash or property and can be made out of the partnership's earnings or as an advance against future earnings. It can also be a payment of the partner's capital in partial or complete liquidation of their interest in the partnership.

Examples:

  • John and Jane are partners in a small business. At the end of the year, the business made a profit of $50,000. The partnership agreement states that the profits will be split equally between the partners. Therefore, John and Jane each receive a partnership distribution of $25,000.
  • ABC Partnership is dissolving, and its assets are being liquidated. The partnership has $100,000 in assets, and after paying off all debts and obligations, there is $50,000 left to distribute to the partners. The partnership agreement states that the profits will be split 60/40 between the two partners. Therefore, Partner A receives a distribution of $30,000, and Partner B receives a distribution of $20,000.

These examples illustrate how partnership distribution works. In the first example, the partnership made a profit, and the partners received a distribution based on their agreed-upon profit-sharing arrangement. In the second example, the partnership is dissolving, and the partners are receiving a distribution of the remaining assets based on their ownership percentage.

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medicine is a scam
join the ethically ambiguous legal field instead
Dkk
18:57
I want to meet an attorney that defends clients who run into flat earth problems. I want an attorney that knows and believes in flat earth theory.
19:05
i want a flat earther for president. i want a guy who posts on 4chan for president. i want someone who mogs for president.
Dkk
19:18
Exactly. My version of that awful poem.
Dkk
19:19
I can accept a president with maybe one or two of the poems traits hut good God, all of them??? No ty.
windyMagician
19:20
president who respects sex is crazy
windyMagician
19:20
we had bill clinton already
Dkk
19:21
Bill Clinton, first and last black president
windyMagician
19:23
I want to go running but my leg feels weird
windyMagician
19:23
it doesn't hurt its just tingly
Dkk
19:26
It needs more alcohol. You tingle when your nerves need watering.
19:27
try stretching it maybe to see what's up
windyMagician
19:27
stretches make me think it's just soreness
windyMagician
19:27
I'm sober lol
Dkk
19:38
Anyone else get the google notification that your LSD password has been compromised lol. LSD got hacked.
20:48
what.jpg @Dkk
CynicalOops
21:03
You think you just fell out of a coconut tree?
jackfrost11770
21:10
nope dk
CynicalOops
22:37
Calvinamala Harris
jackfrost11770
23:16
should i start using letterboxed again
Dkk
23:25
@jackfrost11770: if you want but like it aint for me
dk do u ever eat at bk
Dkk
23:48
@chickenburgahfart: I would do that in the Army if really desperate for food or if I had to work through lunch. One of the few fast food places I go to.
bk so slept on
Dkk
0:23
I will take In N Out everyday over it when I can though.
texaslawhopefully
1:22
In N Out is not only the best fast food place, but the prices too are fantastic
Dkk
1:27
Indeed, indeed.
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