Did any of the parties involved in this case commit

Did any of the parties involved in this case commit an ethical violation? Discuss.

Thomas Bracken (owner of 1513 North Wells, LLC), Mark Sutherland, and Alex Pearsall were limited partners in 1515 North Wells, LP. Sutherland and Pearsall’s company, SP Development Corporation, was 1515’s general partner. The partnership was formed to build a condominium with residential and commercial space. SP chose another Sutherland and Pearsall company, Sutherland and Pearsall Development, to be the general contractor for the 1515 project. Meanwhile, Bracken borrowed $250,000 from 1515. When he did not repay the loan, 1515 filed a suit in an Illinois state court to collect. In response, Bracken filed a claim that included SP Development Corporation, alleging breach of fiduciary duty. The court ordered Bracken to repay the loan and SP to pay Bracken $900,000. SP appealed, arguing that a provision in 1515’s partnership agreement, which allowed all partners to engage in “whatever activities they choose,” effectively “relaxed” SP’s fiduciary duty.

A legal form of business operation between two or more individuals who share management and profits. A Written agreement between two or more individuals who join as partners to form and carry on a for-profit business. Among other things, it states...


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