Question
Legal Studies Question on Laws of Contract
What is the basis for determining whether a person is partner in a firm?
A
The real relation between the parties, as shown by all relevant facts taken together
B
The sharing of profits arising from the property by persons holding common interest in such property
C
The sharing of profits arising from the property by persons holding joint interest in such property
D
The receipt by a person of a share of the profits of a business
Answer
The real relation between the parties, as shown by all relevant facts taken together
Explanation
Solution
The existence of a partnership is determined by the actual relationship between the parties, not merely by their share in the profits. All relevant facts are considered.