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When the father of Stephen and Chris Nuss Died, the two boys aged 15 and 12 began to work the family farm. While

the boys were still under the age of majority, their mother kept the books for the farm. As they grew older the boys took more and more responsibility of the farm, while also renting and working additional acres of farmland. They financed the agreements on their own, but the mother cosigned. They also purchased land with their mother again cosigning. Chris decided to leave farming, so Stephen paid him $100,000 and in exchange Chris signed over the deed to the newly purchased land. Lois was not involved in the transaction. Stephen's farming business grew, and he eventually amassed more than 1,200 acres, while he and his wife Linda kept their own financial records and maintained their own checking account for running the farm. Stephen continued to pay many of the expenses on the original farm where his mother still resided. Stephen continued to pay many expenses on all the buildings and equipment on the old farm and because he still farmed this land, the payments were characterized as rent. No other payments went to Lois. When Stephen died, Linda, his widow and executor claimed that a partnership existed and that the farm equipment on the original acreage itself belonged to that partnership. Lois argued that no partnership existed between her and Stephen existed. 


• Is Linda or Lois correct?

• Did a partnership exist?

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