Question
In 2020, due to the pandemic, TOP GUN Amusement Enterprises encountered a slowdown in its transactions. As a result, Patrick declared that the company did
In 2020, due to the pandemic, TOP GUN Amusement Enterprises encountered a slowdown in its transactions. As a result, Patrick declared that the company did not get any income. Patrick showed the tax declaration of the company as evidence of the performace of the company.
Nicolo was surprised with the declaration of Patrick and was not satisfied with his explanation. He demanded a total accounting of the operations of the company.
Patrick informed Nicolo and the partners that a total accounting of the company will cost PhP 100,000.00. If he accedes to the demand of Nicolo, the company will register a loss which he does not want. He justified that an additional expense like this has no place in a company which is struggling to stay afloat. He therefore denied the demand.
In order to safekeep the financial records which include the partnership book, Patrick decided to put it in his deposit box. Is this action legally defensible if Nicolo decides to question this as well? Why?
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