Saturday, March 17, 2007

Partners' stated in their agreement that once a partner sought to exit the partnership, another partner could within 90 days buy out the exiting partner. Nebraska Supreme Court rules that the 90 day time period started when the exiting partner served his complaint from an earlier case he brought to dissolve the partnership. Mogensen v. Mogensen, S-05-879, 273 Neb. 208 Partners had also acquired property and titled it in the mothers name. The partners provided the downpayment and the mother financed it. The partners did not pay rent to their mother for eight years but made improvements on the property. Supreme court agrees that the property although in the mothers name is presumed partnership land, and the mother did not overcome this presumption. "service of the complaint on keith, rather than either the summary judgment order or the filing of the lawsuit, provided notice of steven’s intent to withdraw and dispose of his interest The mother's property is partnership property because although some evidence does indicate an ownership interest in opal, it is not enough to overcome the presumption in § 67-412(3). We conclude that the brothers purchased the property for the partnership. the most convincing proof of their intent is that brian, keith, and steven decided they wanted the property and then decided to put it in opal’s name to take advantage of a government program. the brothers essentially controlled the transaction in obtaining the land, including using partnership funds to pay for the property. the facts that the partnership developed the land, paid the real estate taxes, and improved the farm for the first 8 years without paying rent further bolster our conclusion

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