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Under Section 21, in an emergency a partner has authority to:
ADo all acts a person of ordinary prudence would do to protect the firm from loss, and such acts bind the firm
BDo nothing without unanimous consent
CAdmit a new partner
DDissolve the firm unilaterally
Answer & Solution
Correct answer: A. Do all acts a person of ordinary prudence would do to protect the firm from loss, and such acts bind the firm
Section 21 confers emergency authority to act as a prudent person would to protect the firm from loss; such acts bind the firm.
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