Business Law: Cases and Concepts

A partnership existed because the defendant's total involvement, financial interest, and participation in day to
day business operations amounted to co-­ownership in fact, regardless of the label used by the parties.

Double Taxes

The business judgement rule means as long as the board members act in good faith and in the corporations best interests they cannot be held liable.

Russell Nugent was held personally liable because he exercised complete control and domination over the business practices to perpetrate an unjust act, whereas Carol Nugent was shielded from personal liability because she didn't control the corporations activities or participate in the business decisions that triggered the plaintiff's claims.

The issue was whether managing members of a Delaware LLC owe default fiduciary duties even if the LLC agreement is silent on the matter.

Determined by the average income for the six months prior to filing the petition.

Primary purpose: to rehabilitate the business so it can continue operating free from unmanageable debt burdens.

After being informed of the bankruptcy. Nissan maintained possession of the truck, filed a motion for relief from the automatic stay, and eventually sold the truck while the motion was pending.

Domestic Support Obligations is the highest priority and gets paid first.

A plaintiff may not blindly rely upon a misrepresentation if its falsity would have been obvious had the plaintiff made a cursory examination or investigation.

The Court applied the three-prong Brunner test.

Final administrative regulations be published in the Federal Register before they become legally binding.

The agency improperly userped legislative power because it balanced complex social, economic, and political concerns rather than merely "filling in the details" of broad legislation.