Question

Read the Blumberg v. Ambrose case that begins on page 597 of the text (Chapter 17). Respond to the following questions: If an LLC was created, how is this case about the formulation of a partnership

Answer 1

Answer:

both persons worked together to create and monetize campDoc without compensation. Also at the part where percentage of equity ownership was discussed, Ambrose referred to blumberg as a co-founder

Explanation:

From this case, there was a formulation of a partnership. Both ambrose and blumberg had discussed how to maintain medical records digitally so as to reduce the amount of paperwork. Both persons collaborated and did so eventually. Blumberg was involved in testing and marketing the program while Ambrose was in charge of administrative affairs. Problems arose when Ambrose filed campDoc as a limited liability company with himself as the sole owner.

An LLC gives a business option where the business owner has owners liability protection against debt and also company action. This is a risk reducing option.

Partnership has two or more people coming together to start or run a business. The partners have complete liability.

A partnership was formed as both persons worked together to create and monetize campDoc without compensation. Also at the part where percentage of equity ownership was discussed, Ambrose referred to blumberg as a co-founder.