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Business Associations Keyed to Bainbridge
Martin v. Peyton
Citation:
246 N.Y. 213, 158 N.E. 77 (1927)Facts
In the spring of 1921 the firm of K.N. & K. found itself in financial difficulties. John R. Hall was one of the partners. He was a friend of Mr. Peyton. From him he obtained the loan of almost $500,000 of Liberty bonds, which K.N. & K. might use as collateral to secure bank advances. The firm and its members had engaged in unwise speculations, and it was deeply involved. Mr. Hall was also intimately acquainted with George W. Perkins and with Edward W. Freeman. He also knew Mrs. Peyton and Mrs. Perkins and Mrs. Freeman. All were anxious to help him. He, therefore, representing K.N. & K., entered into negotiations with them. While they were pending a proposition was made that Mr. Peyton, Mr. Perkins, and Mr. Freeman should become partners. An agreement was finally reached. It expressed in three documents. They were drawn with care and are unambiguous.
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Topic Resources
Topic Outline
PartnershipTopic Refresher Course
Negligence: BreachTopic Charts & Notes
Parties Chart