My father had a business agreement (verbal) with mr x, where mr x had to pay all the business expenses. Subsequently mr x’s partnership with mr y fell apart, and then mr x told this my father that he now dosn’t want to pay full expenses but only half, which my father never agreed to. 5 years down the line the business is closing and my father feels he is owed all these expenses, is he correct, and does he have a case for a din torah?

Answer:

In principle, a person who enters a business agreement is not bound to it forever, and can pull out whenever he wishes, unless stipulated otherwise. The agreement is not entirely clear: he agreed to finance expenses in exchange for what? Of course, he cannot pull out, or pull out halfway, and expect to continue to receive the same income from the business. However, he was within his rights (according to the information provided in the question) to pull out halfway. It is possible that more information would be relevant, and if there is more information, please resubmit.

Leave a Reply

Your email address will not be published. Required fields are marked *