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Fitzgerald and Kennedy were roommates in college and began to sell custom-designed T-shirts with dormitory logos. On each shirtthey put a small logo oftheir own,
Fitzgerald and Kennedy were roommates in college and began to sell custom-designed T-shirts with dormitory logos. On each shirtthey put a small logo oftheir own, which read "Dorm Shirts.'I They both contributed to the design, production, and marketing of the T-shirts and split any prots. Eventually, the shirts became so popular that the roommates began plans to expand their operations and offer other apparel (such as sweatshirts} with dormitory logos. They ultimately locate Johnson, who agrees to finance the expansion with a $50,000 contribution. Johnson forms Dorm Apparel LP. and has his counsel draft a limited partnership agreement that names Fitzgerald and Kennedy as general partners and Johnson as a limited partner. The business expands rapidly and initially sales are so good that Johnson often pitches in by helping with design, production, and marketing. Eventually, a few years later, the partnership's expenses and debt outpace its revenue, and Dorm Apparel defaults on the loan to Big Bank. Which ofthe following would manage Dorm Apparel, L.P.? I. Fitzgerald and Kennedy. H. Johnson. I\". Dorm Apparel, L.P.'s board of directors
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