In Re Estate Of Fenimore

1999 WL 959204 (1999)

Purchase the Printed Copy at bsmsphd.com

Nature of the Case

To access this section all you need to do is click here and register.

Facts

Fenimore is insolvent. Villabona (P) obtained a $32,000 judgment, and Serge (P) claims that she is owed $20,000. Fenimore recently inherited $20,000 in property. Ps are now seeking a determination of who gets priority. On November 6, 1989, Serge (P) loaned Fenimore $12,500 to start a business to buy and sell cars. The agreement signed stated that Serge (P) and Fenimore agreed to share in the profits. Villabona (P) argues that the agreement is not a loan but a partnership, which gives Villabona (P) priority over Serge (P) as a creditor. The agreement does not describe Serge (P) as lending money to Fenimore but advancing money for him to conduct a specific business. Serge (P) agreed to pay the costs of her borrowing the money for the venture and that Fenimore will pay the ordinary operating expenses and that they will divide the profits.