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[Car Repair] Gordon and Leo Are Partners in SafeT Car

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[Car Repair] Gordon and Leo are partners in SafeT Car, a full service automotive repair company. Leo does nearly all of the day-to-day work as Gordon is thinking about retiring. When Leo was moving a customer's car last week, he accidentally collided with the garage door, and the door had to be replaced at a cost of $6,000. Leo recently met with BigBox stores about a potential deal by which BigBox would set up a SafeT Car shop in every BigBox store nationwide. Leo signed an agreement to open a "test" store in one BigBox store. Leo hasn't told Gordon yet, because Gordon hasn't been in the office in a month. Gordon opens The Oil Place, an express oil change company, which he plans to have his sons operate in his retirement. When Leo learns about The Oil Place, he threatens to sue Gordon for breach of duty because Leo is sick of doing all the work at SafeT Car while Gordon was apparently opening a competing business. Gordon tells Leo that he hasn't breached any duty and they don't have a written agreement that restricts Gordon from opening his own store with his sons. Gordon also tells Leo that the $6,000 for the damaged door is coming out of Leo's pocket. Leo, who's thinking about the potential deal about BigBox, tells Gordon he wants to split up the partnership.
-Kayla and Yoshi form a partnership to sell rocks for landscaping purposes. They are having trouble getting customers as well as loans for inventory. Kayla falsely tells ABC bank and customers that her parents are partners in the business. Her parents find out but take no steps to provide correct information. Kayla and Yoshi default on a loan to ABC Bank, and the bank sues Kayla's parents. Will the bank likely prevail, and why or why not?

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Definitions:

Tax Burden

The total impact of taxes on an individual or business, including the effects on income and purchasing power.

Producers

Individuals or organizations that create goods or services for sale or exchange in an economic system.

Price Paid

The amount of money exchanged for a good or service at the time of a transaction.

Excise Tax

A tax applied to specific goods, services, or activities, often with the intention of reducing their consumption or generating revenue.

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