Practice question
Rina knowingly permits public advertisements holding her out as a partner. A creditor relies on the advertisements and gives credit, although Rina did not personally communicate with that creditor and did not know this particular loan was made. Which is best?
- No liability can arise without a private meeting
- Public holding out can satisfy Article 1825 without proof that the particular communication was made with her knowledge, while reliance remains necessary
- Publicity eliminates the need for any reliance
- Every reader automatically becomes her creditor
- Public statements are legally irrelevant
Legal references
- https://lawphil.net/statutes/repacts/ra1949/ra_386_1949.html — Civil Code, Articles 1769(1) and 1825
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