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Old 10-10-2009, 09:35 AM
Jayy
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Default general partnership

I entered into a general partnership with someone, the purpose of which was to buy and restore a house. It was a 50/50 partnership with me doing the c0nstruction and my partner handling administrative tasks and light labor. The deed is in her name and she recently got married. How does her marrage affect my investment.
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Old 10-14-2009, 09:17 PM
moderator moderator is offline
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Have you browsed through the information in LawInfo's Free Legal Resource Center to learn more about your issue yet? See: http://www.lawinfo.com/consumer.html. You can certainly try to speak to a lawyer to determine what legal options may be available. In the meantime, you may be able to learn more on your own. Search the "Free Legal Resources" tab, or browse the Consumer Resources. Good luck.
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Old 02-06-2010, 09:14 AM
Sharon Snell Sharon Snell is offline
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Smile Speaking as a general partner

If your business purpose is to reach one (1) common goal after which the two or you are free to go your separate ways, then the general partnership you describe would be a Joint Venture. We can then reasonably assume your investment in the business is not affected. A spouse can't become a partner in a business venture just by marrying one of the existing partners of the business. If a marital claim or "gift" is intended - it would take some separate legal action - and divide only her 50% interest in the business.
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Old 02-06-2010, 09:42 AM
Sharon Snell Sharon Snell is offline
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Default The two larger questions

1. Do you have in your files conclusive documentation to prove the business agreement and your 50% interest in the business? i.e. (A) terms, including (i) you are working for a share of the profits and not any other compensation; and (ii) the valuation of what each of you contributed (i.e. working capital) at the start up of the business. After start-up you need to keep (B) an accounting of what value you have since (i) contributed or (ii) obligated yourself to by use of personal financing that is to be paid out of your share of the profits.

2. Was the house itself acquired with personal financing? Regardless of the name the house is deeded in, it is a partnership asset if there is a loan that must be paid off BEFORE remaining profits are to be divided.

Last edited by Sharon Snell; 02-07-2010 at 07:42 AM.
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