New York Consolidated Laws

N.Y. Partnership Law § 20 (2026)

Partner agent of partnership as to partnership business

✓ current as of May 2026

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§ 20. Partner agent of partnership as to partnership business.  1.
Every partner is an agent of the partnership for the purpose of its
business, and the act of every partner, including the execution in the
partnership name of any instrument, for apparently carrying on in the
usual way the business of the partnership of which he is a member binds
the partnership, unless the partner so acting has in fact no authority
to act for the partnership in the particular matter, and the person with
whom he is dealing has knowledge of the fact that he has no such
authority.
  2. An act of a partner which is not apparently for the carrying on of
the business of the partnership in the usual way does not bind the
partnership unless authorized by the other partners.
  3. Unless authorized by the other partners or unless they have
abandoned the business, one or more but less than all the partners have
no authority to:
  (a) Assign the partnership property in trust for creditors or on the
assignee's promise to pay the debts of the partnership.
  (b) Dispose of the good-will of the business.
  (c) Do any other act which would make it impossible to carry on the
ordinary business of the partnership.
  (d) Confess a judgment.
  (e) Submit a partnership claim or liability to arbitration or
reference.
  4. No act of a partner in contravention of a restriction on his
authority shall bind the partnership to persons having knowledge of the
restriction.

Notes of Decisions

Cited in 32 cases (3 in the last 5 years), 1973–2025 · leading case: Cutco Indus., Inc. v. Dennis E. Naughton, 806 F.2d 361 (2d Cir. 1986).

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Cutco Indus., Inc. v. Dennis E. Naughton, 806 F.2d 361 (2d Cir. 1986). “2d Business Relationships § 1587 at 264 (1981) (“Each joint venturer ordinarily stands in the relation of principal, as well as agent, as to each of the other co-venturers.”

Bogoni v. Friedlander, 197 A.D.2d 281 (N.Y. App. Div. 1994). · cites it 2× “The court therefore ruled that "since plaintiff was a partner in Odette and the property was sold without his authorization, the sale is void (see, Partnership Law §§ 20, 21).” *289 This reasoning is not consistent with the statute, as it applies to the facts of this case.”

Cara Assocs., L.L.C. v. Milstein, 140 A.D.3d 657 (N.Y. App. Div. 2016). · cites it 2× “The purpose of each partnership was to construct and manage a condominium. If all of the partnerships’ remaining condominium units are sold, the partnerships will not be able to carry on business.”

Edison Stone Corp. v. 42nd Street Dev. Corp., 145 A.D.2d 249 (N.Y. App. Div. 1989). “Development cannot deny that the acts of Esal were binding on Joint Venture (see, Reeve v Cromwell, 227 App Div 32 ; Partnership Law § 20), because, inter alla, "[l]ike a partnership, a joint venture is responsible for the conduct of one of the joint venturers” (Najjar Indus, v…”

Griffith Energy, Inc. v. Evans, 85 A.D.3d 1564 (N.Y. App. Div. 2011). “” As the agent of a partnership, a partner’s “ ‘acts may be adopted and enforced by the partnership as its own’ ” (Beizer v Bunsis, 38 AD3d 813, 814 [2007]; see Partnership Law § 20 [1]). Partnership Law § 10 (1) defines a partnership as “an association of two or more persons to…”

Beizer v. Bunsis, 38 A.D.3d 813 (N.Y. App. Div. 2007). · cites it 2× “Partnership Law § 20 [1]). The partnership agreement did not give Donald L.”

Royal Bank & Trust Co. v. Weintraub, Gold & Alper, 497 N.E.2d 289 (NY 1986). “Acts of a partner in apparently carrying on the partnership business in the usual way are binding on the partnership unless that partner has no authority to act, and the person dealing with that partner knows that fact (Partnership Law §20 [1]). Here, Weintraub’s acts with…”

A to Z Assocs. v. Cooper, 161 Misc. 2d 283 (N.Y. Sup. Ct. 1993). “Partnership Law §20 provides that every partner is an agent of the partnership for purposes of its business.”

Mount Vernon Fire Ins. v. East Side Renaissance Assocs., 893 F. Supp. 242 (S.D.N.Y. 1995). “Furthermore, pursuant to N.Y. Partnership Law § 20 (1) (McKinney 1988), Every partner is an agent of the partnership for the purpose of its business, and the act of every partner, including the execution in the partnership name of any instrument, for apparently carrying on in…”

Manley v. AmBase Corp., 121 F. Supp. 2d 758 (S.D.N.Y. 2000). “See N.Y. Partnership Law § 20 (1) (McKinney 1988); see also Durkin v.”

Frank v. Katz, 145 A.D.2d 597 (N.Y. App. Div. 1988). “Since the issue presented at bar is whether the plaintiff Henry Frank bound the remaining plaintiffs to the option agreement, questions of fact are raised as to whether the plaintiffs were conducting their business as a partnership, whether Henry Frank’s grant of the option was…”

Beltrone v. Gen. Schuyler & Co., 223 A.D.2d 938 (N.Y. App. Div. 1996). “Norwood (see, Partnership Law § 20 [1]), for which DeGraff can be liable as a partner of K.”

Show all 32 citing cases →

— N.Y. Partnership Law § 20(1) — 2 cases

Beckerman v. Sands, 364 F. Supp. 1197 (S.D.N.Y. 1973).

— N.Y. Partnership Law § 20(3) — 2 cases

Epstein v. Cantor, 2025 NY Slip Op 06989 (N.Y. App. Div. 2025).

Epstein v. Cantor, 2025 NY Slip Op 06990 (N.Y. App. Div. 2025).

— N.Y. Partnership Law § 20(3)(C) — 1 case

Camuso v. Brooklyn Portfolio, LLC, 2018 NY Slip Op 5818 (N.Y. App. Div. 2018).

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