Legal Question in Real Estate Law in California

my parents had a deal with a friend that he was going to sell his hotel to my parent and my parent said they can only buy half of it so they gave the guy the money and they were in a partnership and my parent asked them for legal paperwork and they said they will get them and they never gave and after all the hard work that my parent put into the place the guy kicked my parents out of the hotel and he is not willing to say that we gave him the money in court and is lying about it What should they do?


Asked on 8/13/10, 1:03 pm

3 Answers from Attorneys

James Bame San Diego Law Office

Oral partnership agreements are enforceable if the breach occurred less than two years ago. Even if it has been longer, it should be investigated whether or not there is some writing that can bring it into a four year statute of limitations. Contact me directly.

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Answered on 8/18/10, 1:10 pm
Bryan Whipple Bryan R. R. Whipple, Attorney at Law

I doubt that the two-year and four-year statutes of limitations for oral and written contracts, respectively, would be controlling in a dispute over the existence of a partnership and the alleged partners' rights to partnership assets.

Your question lacks sufficient detail to provide you with a truly useful answer. For example, you mention what the "friend" is not admitting in court, but you say nothing about either of them having filed a lawsuit, whether either is represented by a lawyer, or whether the proceeding in court is already at the trial stage.

It sounds to me as though proof of facts will be the deciding factor here. A lawyer experienced in partnership litigation should review all the facts that show the existence of a partnership and the status of the capital accounts (money put in plus profits, less money taken out) of each partner. If there is something in court now, it is very urgent to have legal representation. Defending or prosecuting a partnership dispute is no place to be your own attorney.

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Answered on 8/18/10, 1:33 pm
Terry A. Nelson Nelson & Lawless

The only, and obvious, answer is to sue. Assuming they have some evidence of the payment and the 'deal', and are serious about hiring counsel to take action for them, feel free to contact me if serious about doing so.

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Answered on 8/19/10, 10:26 am


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