Ciara and Julie were partners in a food truck business called Eat4U. They regularly ordered fresh chicken from Ithe Foods Ltd. To cut costs, Ciara asked Julie not to order any more chicken from Ithe Foods Ltd but instead to buy it at the local supermarket. The next day Julie gets a new customer and, wanting to make a good impression, she again ordered chicken from Ithe Foods Ltd, who knew nothing of Ciara's request. Two months later, Ithe Foods's bill has not been paid and Ithe Foods threatened to sue Ciara and Julie as the partners of Eat4U. Ciara blamed Julie for the situation.

(a) Advise Julie whether she will be liable to pay the debt from her personal resources if Eat4U has insufficient assets to pay for the debt. (10 marks)

(b) If Eat4U was a limited company rather than a partnership, explain, giving reasons, who would be liable for the debt to Ithe Foods Ltd. (5 marks)