Nate Late, a business owner, has two partners in the operation of Loose Cannon Manufacturing in Gurnee, NC. He owns one-third of a $3 million company. Late is ill but is not dying. He is grooming a 26-year-old man, Ivan T. McCool, to run the business. He tells his family that he likes McCool and wants to teach him the business. The business owner, Nate Late, dies. The most current will leaves the estate of Late to his wife, Shirley Late, and his only son, Lou Sier. McCool tells Mrs. Late that Late intended to give McCool Late's one-third interest in the company and that Late told this to McCool in front of a banker on the day of his death. The conversation took place during a meeting and the agreement was never put into writing. Before this meeting, on the day of Late's death, other employees of Loose Cannon heard Late say that he intended for McCool "to get" the business. Family members knew that Late intended for McCool to run the business and for McCool to get something if the business was sold. None of the family believed that Late intended to give the business to this newcomer. Late's shares of stock were never given to McCool. The shares were in the safe deposit box shared by Late and his wife of 24 years.

Rob R. Baron also claims that Late promised to give him the shares in the future. Baron admits that Late did not physically give him the shares before he died, but Baron insists that Late said, "I shall give you my shares in two years." Mrs. Late said that Mr. Late planned to give her the shares. He told her this when he opened the joint safety deposit box and gave her the key.

Under North Carolina law, does McCool have a claim to all of Mr. Late's interest in the company?Explain

Answer rating: 100% (QA)

In North Carolina the issue of whether Ivan T McCool has a valid claim to all of Mr Lates interest in the company would likely depend on the principle... View the full answer