CSU Legal Environment the 50 Percent Profits of Pierce Paxton Collections Case Study

I’m working on a business discussion question and need support to help me learn.

For your discussion, you will review the case scenario and sample answer. Do a written response stating theopposite perspective of the sample answer.

In 200 words or more, provide a written response that identifies concepts and terms used in thechapter reading. Similarly, by stating the opposite perspective, give some insight on where yourargument stems from and use concrete examples/citation to support your position.

Case Scenario:

Karyl Paxton asked Christopher Sacco to work with her interior design business, Pierce Paxton Col-lections,in New Orleans. At the time, they were in a romantic relationship. Sacco was involved in every aspect of thebusiness—bookkeeping, marketing, and design—but was not paid a salary. He was reimbursed, however,for expenses charged to his personal credit card, which Paxton also used. Sacco took no profits from thefirm, saying that he wanted to “grow the business” and “build sweat equity.” When Paxton andSacco’s personal relationship soured, she fired him. Sacco objected, claiming that they were partners. IsSacco entitled to 50 percent of the profits of Pierce Paxton Collections? Explain.

Question: Is Sacco entitled to 50 percent of the profits of Pierce Paxton Collections?Explain.

Sample Answer:Yes, Sacco is entitled to 50 percent of the profits of Pierce Paxton Collections, PPDS, and KPD.The requirements for establishing a partnership are (1) a sharing of profits and losses, (2) a jointownership of the business, and (3) an equal right to be involved in the management of the business. Theeffort and time that Sacco expended in the business constituted a sharing of losses. Hisproprietary interest in the assets of the partnership consisted of his share of the profits, which hehad expressly left in the business to “grow the company” and “build sweat equity” for the future. He wasinvolved in every aspect of the business. Although he was not paid a salary, he was reimbursed forbusiness expenses charged to his personal credit card, which Paxton also used. These facts arguablymeet the requirements for establishing a partnership. In the actual case on which this problem is based,Sacco filed a suit in a Louisiana state court against Paxton, and the court awarded Sacco 50percent of the profits. A state intermediate appellate court affirmed, based generally on the reasoningstated above.

Please read carefully, the assignment is to write a 200 word stating the opposite opinion of the sample answer provided below.