- 6 Marks
BL – Nov 2023 – L1 – SB – Q1b – Partnership Law
Advises on the legal position regarding a partnership dispute over the sharing of profits from palm oil fruit sales.
Question
Ulokoagah, Etseosomi, and Ulekhia, farmers in Ilogboda, Edo State, agreed to carry on a business of buying palm oil fruits for milling, selling the product, and sharing whatever profits they made from the business. The three of them contributed ₦5,000 each as working capital. Etseosomi, thereafter, bought palm oil fruits with his own money, which he milled and sold at a profit. Ulokoagah and Ulekhia are demanding a share of Etseosomi’s profits, which the latter has rejected. The farmers have come to you for advice.
Required:
State the legal position and advise the farmers. (6 Marks)
Find Related Questions by Tags, levels, etc.
- Tags: Advice, Business Dispute, Legal Position, Partnership, Profit Sharing
- Level: Level 1
- Topic: Partnership Law
- Series: NOV 2023
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