Adam, Beatrice, and Cina are partners in a bakery business, Edible Everything. All are equal partners and have agreed that each may make purchases for the business up to the value of

$5,000. In order to make a purchase above that amount, all partners must agree. Adam is in a shop when he sees a special deal for the Donut5000, an expensive donut press that usually retails at $10,000. The machine costs $7,000 while on sale. Adam, sure that the other partners would approve of the purchase, went ahead and bought the Donut5000 without consulting the other partners first. The purchase was on credit, with finance provided by the seller at a rate of interest 10 times the normal rate. When the other partners found out, they were furious that Adam entered into such a bad financing arrangement.

Advise Beatrice and Cina whether they can be held liable for the purchase of the Donut5000 under the law ofpartnerships. Please ensure that you use relevant authority in support of your answer (ie. legislation and cases).