Sec. 14.
(Partnership bound by partner's breach of trust). The partnership is bound to make good the loss:
(a) Where 1 partner acting within the scope of his apparent authority receives money or property of a third person and misapplies it; and
(b) Where the partnership in the course of its business receives money or property of a third person and the money or property so received is misapplied by any partner while it is in the custody of the partnership.
History: 1917, Act 72, Eff. Aug. 10, 1917 ;-- CL 1929, 9854 ;-- CL 1948, 449.14
Structure Michigan Compiled Laws
Act 72 of 1917 - Uniform Partnership Act (449.1 - 449.48)
Section 449.9 - Partner as Agent of Partnership Relative to Partnership Business.
Section 449.10 - Real Property of Partnership; Conveyance of Title.
Section 449.11 - Partnership; Effect of Admission of Partner.
Section 449.12 - Partnership; Effect of Knowledge of or Notice to Partner.
Section 449.13 - Partnership; Liability for Wrongful Acts of Partner.
Section 449.14 - Partnership; Effect of Partner's Breach of Trust.
Section 449.15 - Partners; Joint and Severable Liability.