Partnership terms

1. Walton, Sr., the sole owner of a small retailing business, was attempting to purchase some goods on credit from a manufacturer with whom he had not done business previously. In talking in person with the manufacturer’s representative, Walton pointed to his daughter, Waltona (a nationally known retailer who was also visiting for a few days). Walton then stated that: “my partners and I have always paid our bills on time.” Waltona heard and saw what her father had said and done, but she made no comment in the presence of the manufacturer’s representative. The manufacturer’s representative knew, however, that Waltona was neither her father’s partner nor otherwise involved in business with him. The manufacturer thereafter sold Mr. Walton goods on credit, and Walton failed to pay for them when payment was due. If the partnership has no assets, and the manufacturer sues Waltona and Walton under these facts, against whom (if anyone) will it be successful?

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