Question
Chuck,Howard, and Ben decide to go into a businessventure,developing and distributing educational software. For taxreasons,they do not incorporate. Each contributes$10,000,and Howard also contributes a truck
Chuck,Howard, and Ben decide to go into a businessventure,developing and distributing educational software. For taxreasons,they do not incorporate. Each contributes$10,000,and Howard also contributes a truck and his programming expertise. They agree that all three will be actively involved in the day-to-day management of the business. To determine their rights andobligations,they enter into a one-page agreement that provides only that each ofChuck,Howard, and Ben is to get33-1/3%of the profits and also specifically states that they are not to be viewed as partners. Based on these facts explain their partnership type, situtation and liabilities.
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