(B) - When a partnership is dissolved, it is generally advisable to provide a notice of dissolution to indicate termination of actual and apparent authority of the partners. An actual notice is required for each of the third parites that have dealt with the partnership in the past. A constructive noitce on the other hand, is a public notice, such as a notice in a newspaper, given to elimiate apparent authority with third parties who have not dealt with the partner or the partnership. Here Ace Automoblie Co, is a third party that has dealt with ACH partnership in the past and therefore, would require an actual notice of termination of ACH partnership. Absence of such notice, ACH is bound by the actions of Hook who displays apparent authority, even though the partnership was terminated at the time of the contract (contract with Ace signed in Oct 20X2, where as partnership terminated in Sept 20X2). Therefore, Ace will win a suit it brings against ACH.