What is the duty partners have regards to business opportunities that arise within the partnership?

Partners in a partnership have a fiduciary duty to act in the best interests of each other and the partnership as a whole. This fiduciary duty includes the responsibility to disclose any business opportunities that arise within the context of partnership activities. When a partner becomes aware of a potential business opportunity that could benefit the partnership, they are obligated to inform the other partners rather than seeking to exploit that opportunity for personal benefit. This is rooted in the principle that partners must act with loyalty and good faith towards one another.

By disclosing the opportunity, partners ensure that decisions can be made collaboratively, and the partnership can take advantage of beneficial opportunities. This obligation helps to maintain trust and support the partnership's overall objectives, and it prevents conflicts of interest where one partner might prioritize personal gain over the partnership's interests. Therefore, the correct stance is that partners must disclose all relevant business opportunities to their fellow partners to ensure transparency and cooperation in pursuing potentially profitable ventures.