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George and Anita are friends and agree to go into a fast-food business together. They instruct their solicitors to prepare a deed of partnership setting
George and Anita are friends and agree to go into a fast-food business together. They instruct their solicitors to prepare a deed of partnership setting out each party's rights and obligations. Each party signs the deed. The fast-food business is very successful, but as time passes George and Anita begin to argue over who should run the business. Eventually, after a year together, Anita storms out of the shop after a particularly heated argument with George. As she is leaving, she tells George that not only will she not be back, but that she is going to lease a shop down the road and set up a rival business and put him out of business. Anita's new business does very well, and in a short time the former partnership business begins to suffer large losses. Does George have an action against Anita for breach of contract? Anita claims that she didn't think that the agreement they signed was intended to be binding, but rather reflected the fact that they were going into business just as friends. She wouldn't have signed it, she says, if she had known that wasn't the case
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