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HRS §425-112

When a partner's actions can bind the partnership

This section explains when a partner's actions count as the partnership's actions. If a partner acts in the ordinary course of business, the partnership is bound unless the other person knew the partner lacked authority. If the act is outside ordinary business, the partnership is bound only if the other partners approved it.

businesses

The statute, as written — Partner agent of partnership

Subject to the effect of a partnership registration statement under section 425-1: (1) Each partner is an agent of the partnership for the purpose of its business. An act of a partner, including the execution of an instrument in the partnership name, for apparently carrying on in the ordinary course the partnership business or business of the kind carried on by the partnership binds the partnership, unless the partner had no authority to act for the partnership in the particular matter and the person with whom the partner was dealing knew or had received a notification that the partner lacked authority. (2) An act of a partner which is not apparently for carrying on in the ordinary course the partnership business or business of the kind carried on by the partnership binds the partnership only if the act was authorized by the other partners.
Read the official text at capitol.hawaii.gov ↗as published Jan 6, 2026our copy taken Aug 20, 2026

Sections this one refers to

§425-1 Registering a partnership and filing yearly updates

LawTrove is not legal advice. The summary above is a computer-generated restatement — the authoritative text is the official version linked above.