2007-12-26 15:17:14 · 3 answers · asked by Anonymous in Politics & Government ➔ Law & Ethics
There are generally 2 kinds of partners, equity and non-equity.
An equity partner owns part of the firm and if the firm dissolves would be entitled to part of the sale of any proceeds, based upon a partnership agreement.
A non-equity partner may have greater status and power in a law firm, but does not own part of the firm and generally has less control over the firm as a whole.
The main reason there is so much status associated with making partner, regardless of whether it's an equity or non-equity partner is that it usually comes with significant salary increases, sometimes based on a percentage of the total amount of money a firm makes. It also often means that you will have people working under you, rather than being just an associate, where you work under other people.
2007-12-26 16:23:59 · answer #1 · answered by mimajuem 1 · 0⤊ 0⤋
As an Associate you get a salary, and are a paid employee. You can be fired if they want to and they don't have to pay you any sort of severance.
As a Partner you are a part-owner of the firm, and you get a share of the profits, plus a vote in how it's run. If the other partners want you out they have to vote on it, AND then they have to buy you out for the fair value of your partnership.
Richard
2007-12-26 23:24:30 · answer #2 · answered by rickinnocal 7 · 2⤊ 0⤋
It means you are a partner in the business.
2007-12-26 23:21:28 · answer #3 · answered by Sordenhiemer 7 · 1⤊ 0⤋