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Grace Anderson and her sons, Manny and Jason, bought a ranch known as the Cowboy Palace Place in March 2012, and the three verbally agreed to share the business for five years. Grace contributed 50 percent of the investment, and each son contributed 25 percent. Manny agreed to handle the livestock, and Jason agreed to handle the bookkeeping. The Andersons took out joint loans and opened a joint bank account into which they deposited the ranch's proceeds and from which they made payments toward property, cattle, equipment, and supplies. In September 2011, Manny severely injured his back while baling hay and became permanently unable to handle livestock. Manny therefore hired additional laborers to tend the livestock, causing the Cowboy Palace Place to incur significant debt. In September 2014, Al's Feed Barn filed a lawsuit against Jason to collect $32,400 in unpaid debts. Using the information presented in the chapter, answer the following questions. Was this relationship a partnership for a term or a partnership at will? Did Manny have the authority to hire additional laborers to work at the ranch after his injury? Why or why not? Under the current UPA, can Al's Feed Barn bring an action against Jason individually for the Cowboy Palace Places's debt? Why or why not? Suppose that after his back injury in 2015, Manny sent his mother and brother a notice indicating his intent to withdraw from the partnership. Can he still be held liable for the debt to Al's Feed Barn? Why or why not?
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