Garcia and Levitt agreed that the two would import bacon. They would split profits equally, but Levitt would do all of the work and Garcia would provide all of the capital. Due to the commencement of World War II, the shipload of bacon was detained in the New York harbor for more than a month, resulting in the spoilage and complete loss of the cargo. Levitt went to extraordinary lengths to have an Act of Congress passed that allowed reimbursement from the U.S. government for the lost cargo. Since Levitt had taken on work duties not originally planned, he demanded to be paid for his services.

Group of answer choices

He is entitled to be paid additional compensation; his additional work was extraordinary and therefore not anticipated at the outset of the agreement.

He is not entitled to be paid additional compensation; partners are not entitled to be paid for their services unless agreed otherwise.

He is entitled to be paid additional compensation; as a joint venturer, he had no duty to perform services to an ongoing business enterprises.

He is not entitled to be paid additional compensation; this is a function of the service capitalization rule.