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Business Associations Keyed to Bainbridge
Kovacik v. Reed
Citation:
315 P.2d 314 (Cal. 1957)Facts
In November 1952, Kovacik told Reed that he had a chance to remodel some kitchens in San Francisco, and asked Reed to become his job superintendent and estimator. Kovacik explained that he had about $10,000 to invest and that he would share profits on a 50-50 basis. The two did not discuss possible losses at all. Reed accepted Kovacik’s proposal and began work on the venture immediately. Reed worked on all of the jobs as job superintendent, but contributed no funds. Instead, Kovacik provided the financing. In August, 1953, Kovacik told Reed that the venture had lost money and demanded that Reed contribute to the amounts that he had advanced beyond the income he received. Reed refused to pay.
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