Question 1 (a)

Ben and Tim are partners in a bubble tea business called Buddies Tea (BT). As they are good friends, they did not bother to draw up a written agreement for this general partnership. Both partners contributed equally to the setting up and the running of the shop, and they draw equal partnership income. Ben is the risk-taker in this partnership. He is very optimistic about the shop's bubble tea sales and wanted to order a large stock of tea from an alternative and cheaper supplier on credit. Tim had some reservations about this because the tea has a distinctive taste which is not in their usual offerings. Ben did not want to miss out on this cheap deal and went ahead to place a large order from this supplier. Unfortunately, Tim was proved right as the customers do not like the "funny taste" in the tea. Ben and Tim are now stuck with a large order of tea that they are unable to use. Tim is furious and refuses to pay the supplier for the tea. He reasons that he did not agree to this new supplier and hence, neither he nor BT is liable to pay the tea supplier. Since Ben made this decision without Tim's consent, Ben should pay the supplier out of his own pocket.

Define what a general partnership is and discuss whether Tim is right in his assertions.

(b) Joshua is employed as a researcher in a pharmaceutical company called Bio Pills Ltd. After a few years of research as the lead scientist, he developed a new drug that could be used successfully to treat dementia, a medical condition that affects especially old people by causing them to lose memories and mental abilities. Discuss what a patent is and analyse the steps required for a patent to be registered.

Conclude if Joshua is able to register this drug in his own name.