Mich. Comp. Laws § 449.7: Rules for determining existence of partnership.
Where this section sits in the code
- MI Code
- Chapter 449
- Act Act-72-of-1917
Sec. 7.
(Rules for determining the existence of a partnership). In determining whether a partnership exists, these rules shall apply:
Except as provided by section 16 persons who are not partners as to each other are not partners as to third persons;
Joint tenancy, tenancy in common, tenancy by the entireties, joint property, common property, or part ownership does not of itself establish a partnership, whether such co-owners do or do not share any profits made by the use of the property;
The sharing of gross returns does not of itself establish a partnership, whether or not the persons sharing them have a joint or common right or interest in any property from which the returns are derived;
The receipt by a person of a share of the profits of a business is prima facie evidence that he is a partner in the business, but no such inference shall be drawn if such profits were received in payment:
As a debt by installments or otherwise,
As wages of an employe or rent to a landlord,
As an annuity to a widow or representative of a deceased partner,
As interest on a loan, though the amount of payment vary with the profits of the business,
As the consideration for the sale of the good-will of a business or other property by installments or otherwise.
Collected 2026-09-14T18:32:31Z. Source file · JSON