If your partner commits to an obligation such as a commercial contract which turns out to be unsound, then all members of the partnership will be bound by the terms of the contract. The factors may be mitigated by Choosing your partner carefully - this cannot be emphasised enough, the simple need for 'another pair of hands' may be insufficient qualification for the important job of partner in a business. Contractual insistence on full malpractice insurance. Facilitating a high level of communication and understanding between the partners, such as by having regular meetings, informal discussions and a comprehensive partnership agreement. Consider placing substantial private assets such as the home in a suitable structure such as a well-designed family trust.
All partners have a fiduciary duty one to the other.
But I suspect that many young doctors signing a partnership agreement for the first time will have little understanding of the definition, nature, and practical implications of the fiduciary duty that they will now have to their new partners. This is unfortunate, as the fiduciary duty forms the very foundation stone of partnership. And yet you will be hard-pushed to find a definition, as State Partnership Acts do not formally define it and partnership agreements may not specifically refer to it. Fiduciary duty can be described as mutual confidence and the duty of utmost good faith, by which each partner must observe the utmost fairness and good faith towards his co-partners. Partnership has been described as being like a marriage, and it is the fiduciary duty that gives it this quality.