ANA, BEN, and CARLO are partners in MAGINHAWA PARTNERSHIP. ANA and BEN each contributed P500,000.00 to the partnership. CARLO is an industrial partner. While on his way to a partnership transaction, CARLO, because of over-speeding, accidentally hit and collided with the car owned by VICTOR. Because of the accident, CARLO dies while VICTOR sustained injuries which require medical attention amounting to P1,000,000.00. VICTOR files a case against the partnership for recovery of damages he sustained.

1. Is the partnership liable to VICTOR? Explain.
2. What is the effect of the CARLO's death to the partnership? Explain.