Wertin

Ab Group v. Wertin

Good Law
1997 Cal. App. LEXIS 1003·59 Cal. App. 4th 1022·69 Cal. Rptr. 2d 652·97 Daily Journal DAR 14743·1997 WL 759847
Court of Appeal of CaliforniaDecember 5, 1997Docket Nos. G015998, G020272California7,590 words

Opinion

Opinion

Sills, J.

A partnership opportunity can be many things. It can be the prospect of a lucrative contract with the federal government to build a regional tax processing center. (Leff v. Gunter (1983) 33 Cal.3d 508 [ 189 Cal.Rptr. 377 , 658 P.2d 740 ].) Or it can be the prospect of large contingency legal fees earned on a major antitrust suit. (Rosenfeld, Meyer & Susman v. Cohen (1983) 146 Cal.App.3d 200 [ 194 Cal.Rptr. 180 ].) Or it can be the right to occupy the space on which the partnership is doing business. (Ferry v. McNeil (1963) 214 Cal.App.2d 411 [ 29 Cal.Rptr. 577 ].)

But a partnership opportunity is most assuredly not the possibility of extracting a discount on a partnership loan by refusing to pay an undisputed debt and putting the creditor to the expense and risk of a lawsuit to collect. If there were such a thing, partners could find themselves under a fiduciary duty to refrain from paying the lawful obligations of their partnership.

Equity, however, does not impose, much less countenance a duty to “stiff’ one’s creditors. Accordingly, we reject the very premise on which appellant John E. Wertin bases this appeal from a judgment after a partnership dissolution and…

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