Judy Believed That Ray and Don Were Partners in an Automotive

question 17

Multiple Choice

Judy believed that Ray and Don were partners in an automotive repair business.Ray and Don were not partners.Ray owned the business as a sole proprietor.Ray,however,allowed Don,his unemployed brother-in-law,to be around the business.When Judy was having her car repaired,Ray said,"My partner here,Don,will give you a ride to work this morning so you can leave your car here.He will give you a ride back here after work,and your car will be done." Judy allowed Don to drive her to work.While riding with Don,he accidentally ran a stop light and caused an accident.Judy was hurt and claims that both Don and Ray are liable to her.Is she right?

• A)Yes.This illustrates a partnership by estoppel.
• B)No.Don was not a partner in the business.
• C)No.Don was a dissociated partner.
• D)No.There was no intent to have a partnership.

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Personal interpretations and feelings unique to an individual, not necessarily observable by others.

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