Thomas, a young entrepreneur, started a construction business. Ari, who owned and operated an ethnic radio station,

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Thomas, a young entrepreneur, started a construction business. Ari, who owned and operated an ethnic radio station, agreed to run some advertisements for him. Unfortunately, Thomas was unable to pay Ari for the services. In the hopes of making the business profitable so that he could get payment under the broadcasting contract, Ari, without remuneration, assisted Thomas in his business. In fact, Ari signed a contract with Lopez on behalf of Thomas for plumbing and heating supplies. When payment for the supplies was not forthcoming, Lopez sued Ari claiming that Ari was a partner of Thomas and was therefore responsible for the debt. Ari claimed that when he signed he was acting as Thomas’ agent. What difference does it make whether Ari is considered to be Thomas’ agent or his partner? What factors are important in determining the nature of a relationship between individuals?
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Canadian Business & the Law

ISBN: 978-0176501624

4th edition

Authors: Dorothy DuPlessis, Shannnon o'Byrne, Steven Enman, Sally Gunz

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