Exam 38: B: Limited Liability Companies Special Business Forms

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Alpha Communications,a partnership,publishes consumer periodicals,including Science Today.Beta Publications,also a partnership,pub?lishes professional periodicals,including Technology Review.Alpha and Beta agree to pool their resources in a one-time deal to print and market a book,Unlimited Future.In contracting with Gamma Printing Supplies,Inc. ,for paper to print the book,Alpha commits fraud.In contracting with Delta Literary Agency for articles to use in Technology Review,Beta commits fraud.Gamma and Delta file suits against Alpha and Beta.What type of business organization has Alpha and Beta formed? To whom,if anyone,is Alpha liable? To whom,if anyone,is Beta liable?

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The liability of the members of a limited liability company is limited to the amount of their investments.

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