General Partner

The individual in a limited liability partnership business structure, who oversees the management of the business, and who is personally exposed to the debts of the business.

As was succintly put by the Canadian Federal Court of Appeal in  Backman v Canada:

"In the ordinary case, a limited partnership will consist of a general partner that will control the business and limited partners who will have made financial or other contributions but who will not be actively involved in the business.

"However, that obviously does not mean that the limited partnership is not carrying on a business.

"The business is being carried on in common by all the partners, but is controlled by the general partner."

REFERENCES:

• Backman v Canada 1 FC 555 (2000); appeal dismissed by the Supreme Court at 2001 1 SCR 367
• Duhaime, Lloyd, Legal Definitions of Partnership, Limited Partners and Limited Partnership.
• Duhaime, Lloyd, Partnership Law: The Firm