Spongebob, Patrick, and Krabs are partners in a catering business, Krusty Krabs. The firm was established five years ago and is doing well. A provision in the partnership agreement clearly states: 'No partner shall enter into contracts exceeding RM5,000 without the consent of other partners.

On 1^st March 2021, Spongebob ordered a brand-new tv set from SenQ Ltd valued at RM2,000 in Krusty Krabs' name. However, the set was to be delivered to Spongebob's home. On 10 March 2021, Patrick entered into a contract with Chan Furniture on behalf of Krusty Krabs, to purchase two large table sets valued at RM10,000. When the tables were delivered, both Spongebob and Krabs were not happy as they were expensive. Yesterday, both representatives of SenQ and Chan Furniture came to the firm and demand payment for the goods delivered. Krabs denied liability for the tv and table sets.

Discuss the legal implication(s) in the following situation based on thePartnership Act 1961 anddecided cases: