A physician practicing as a sole proprietorship is late in making payments to a local bank, a creditor to whom the physician owes $555,000. The bank agrees to take monthly payments from the physician in order to pay off the debt. The monthly payments are $3,500 per month and up to 5% of the physicians profits for that month.

Did the physician and the bank set up a partnership?

A. Yes, because they agreed to share profits

B. No, because sharing profits with a creditor does not generate a partnership

C. Yes, because the physician and the bank made a contract

D. No, because banks can never be partners with a sole proprietor