I would. Madam Chair, if you would allow me just before I start, I would like to say hello to my daughter, Emily, who is watching at home with her friend Myra, I understand. They are probably onto other things by now, but they were watching for a brief moment.
The primary purpose of this bill is to permit the registration of limited liability partnerships formed or operating in the Northwest Territories and to establish basic rules and procedures for the registration of these partnerships.
In a general partnership, each partner is liable for the obligations of the partnership, as well as the obligations of
all other partners. Once the partnership assets have been used to satisfy any claims, the personal assets of each partner are available to satisfy claims. In a limited liability partnership, only the personal assets of the negligent partner would be available in addition to the partnership assets. The personal assets of non-negligent partners would be protected.
Limited liability partnerships currently exist in almost all provinces in Canada. Over 50 such partnerships operate in the Northwest Territories but the limited liability of the partners that applies elsewhere is not currently recognized in the NWT.
An ad hoc committee representing the self-regulated professions, in particular the legal and accounting professions, first proposed the registration and recognition of limited liability partnerships. The Department of Justice supported this request and ultimately prepared a consultation draft of amendments to the Partnership Act that was released to the committee. The committee has indicated its support for the proposed bill in all respects.
The bill also includes a number of minor amendments. In most instances, no change would be made to the substance of the law. The amendments simply update or clarify the language of various provisions of the act.
I wish to thank the Standing Committee on Social Programs for its considered review of this bill. I will be pleased to answer any questions that the committee may have. Thank you, Madam Chair.