Explore BrainMass
Share

Sale of Partnership interest

This content was COPIED from BrainMass.com - View the original, and get the already-completed solution here!

White, Fring, and Pinkman are partners in the operation of the A1A car wash. Without Fring's knowledge, White and Pinkman sold 10 percent of their interest in the business and its profits to Herzog and agreed that Herzog would be a partner of the business. Fring had not agreed to give White and Pinkman authority to make such an agreement. Is Herzog a partner in the A1A car wash business? Present the rationale for your determination supported by concepts from your textbook and research.

Your response should be at least 200 words in length. All sources used.

© BrainMass Inc. brainmass.com March 22, 2019, 1:56 am ad1c9bdddf
https://brainmass.com/business/business-law/sale-partnership-interest-556625

Solution Preview

Herzog is not a partner in the A1A car wash business because White and Pinkman were not authorized to act on such a decision without the consent of Fring and thus, the selling of partnership interest by White and Pinkman to Herzog is not an authorized transaction and such an arrangement between these parties do not entitle Herzog ...

Solution Summary

The solution discusses a scenario related to sale of partnership interest.

$2.19