Same two partners...Partner A & B verbally formed a partnership which partner B is denying...essentially hiding behind the cover of an LLC that partner B was formed/owned 100%. Both A & B verbally agreed to use B's LLC to conduct immediate business in the interim of forming a formal Corp with each being 50/50 shareholders. There are all sorts of supporting documentation ie.,emails, client relationships, employees etc that support this verbal agreement of a partnership but no specific document in writing neatly signed and dated. What types of documentation will substantiate evidence of the formation of the initial partnership?
Use anything and everything that points to a verbal agreement by B to treat certain business as partnership assets. You don't say anything about what A contributed to the business, and that is critical. A's mere statement that "we agreed to be partners", without more on A's part like capital contributions or bringing the business, would be a weak case.
I hope this Answer is helpful and that you will give it a positive rating. If you have any follow up questions please send back a Reply. You should consult a local attorney to verify that this information is accurate for your state. Thank you for using Pearl.com- Just Answer. We appreciate your business.
DISCLAIMER: Answers from Experts on JustAnswer are not substitutes for the advice of an attorney. JustAnswer is a public forum and questions and responses are not private or confidential or protected by the attorney-client privilege. The Expert above is not your attorney, and the response above is not legal advice. You should not read this response to propose specific action or address specific circumstances, but only to give you a sense of general principles of law that might affect the situation you describe. Application of these general principles to particular circumstances must be done by a lawyer who has spoken with you in confidence, learned all relevant information, and explored various options. Before acting on these general principles, you should hire a lawyer licensed to practice law in the jurisdiction to which your question pertains.
The responses above are from individual Experts, not JustAnswer. The site and services are provided “as is”. To view the verified credential of an Expert, click on the “Verified” symbol in the Expert’s profile. This site is not for emergency questions which should be directed immediately by telephone or in-person to qualified professionals. Please carefully read the Terms of Service (last updated February 8, 2012).