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Importance of good faith and fair dealing courts

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Importance of Good Faith  and Fair Dealing. Courts usually try to balance the rights of both parties. If franchisor arbitrarily or unfairly  terminates a franchise, the franchisee will be provided with a remedy for wrongful  termination. If franchisor’s decision to terminate was made in the normal course of the franchisor’s  business operations, and reasonable notice of termination was given to the franchisee,  most  courts will not consider the termination wrongful. Partnerships What is a partnership? Created when two or more persons (including corporations) agree to carry on business  for profit as co-owners with equal right to manage and share profits  (UPA). How is a partnership formed? Under the UPA there is a  presumption  of a partnership if:  A sharing of profits or losses.  A joint ownership of the business.
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An equal right to be involved in the management of the business.  The Partnership Agreement can be written or oral, unless the Statute of Frauds  requires a written agreement.  Duration  of Partnership. Partnership for a Term.  Partnership at Will.  Partnership by Estoppel Occurs when a person who is not a partner holds himself out to third parties and the  third party relies to her detriment. In this case the “nonpartner” is considered an agent  whose acts are binding on the partnership. How does a partnership operate? Rights of Partners :  In the absence of a partnership agreement (oral or written) state  statutes govern the partner rights.  Management:  equal, each one vote, majority wins; need unanimous consent for some  actions. Interest  in the Partnership : equal profits, losses shared as profits shared   Compensation: none.  Inspection of the Books:  always and also by rep. of deceased partner . Accounting:  when other partner(s) committing fraud, embezzlement, wrongful  exclusion, or anytime it is just and reasonable  Property Rights Property acquired by the partnership remains partnership property.  An individual partner has no right to sell, mortgage, or transfer partnership property.  
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However, creditor of individual partner can petition a court for a charging order to attach  to individual partner’s property interest. Use or possess property on behalf of the partnership. Assign her right to her share of the profits to another to satisfy individual debt. What are the rights and duties of the partners?  Fiduciary Duties
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Importance of Good Faith and Fair Dealing Courts usually...

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