{"data":{"id":"us-me/31-m.r.s.-1022","jurisdiction":"us-me","citation":"31 M.R.S. §1022","heading":"Formation of partnership","body":"1.  Formation of partnership.  Except as otherwise provided in subsection 2, the association of 2 or more persons to carry on as co-owners a business for profit forms a partnership, whether or not the persons intend to form a partnership.\n2.  Not partnership.  An association formed under a statute other than this chapter, a predecessor statute or a comparable statute of another jurisdiction is not a partnership under this chapter.\n3.  Determination of formation; rules.  In determining whether a partnership is formed, the following rules apply.\nA.  Joint tenancy, tenancy in common, tenancy by the entireties, joint property, common property or part ownership does not by itself establish a partnership, even if the co-owners share profits made by the use of the property.\nB.  The sharing of gross returns does not by itself establish a partnership, even if the persons sharing them have a joint or common right or interest in property from which the returns are derived.\nC.  A person who receives a share of the profits of a business is presumed to be a partner in the business, unless the profits were received in payment:\n(1)  Of a debt by installments or otherwise;\n(2)  For services as an independent contractor or of wages or other compensation to an employee;\n(3)  Of rent;\n(4)  Of an annuity or other retirement or health benefit to a beneficiary, representative or designee of a deceased or retired partner;\n(5)  Of interest or other charge on a loan, even if the amount of payment varies with the profits of the business, including a direct or indirect present or future ownership of the collateral, or rights to income, proceeds or increase in value derived from the collateral; or\n(6)  For the sale of the goodwill of a business or other property by installments or otherwise.","path":["TITLE 31: PARTNERSHIPS AND ASSOCIATIONS","CHAPTER 17: UNIFORM PARTNERSHIP ACT","SUBCHAPTER 2: NATURE OF PARTNERSHIP"],"source_url":"https://legislature.maine.gov/statutes/31/title31sec1022.html","current_through":"October 1, 2025","vintage":"","retrieved_at":"2026-09-04T15:12:37Z","sha256":"17e1f8a758f3efc72ab46bdfa87a396f25d517398f3645a2bbfbef4f3df974c8","source_id":"us-me","stale":false,"prev":"us-me/31-m.r.s.-1021","next":"us-me/31-m.r.s.-1023"},"notice":"GroundRules: Original legal text. Not legal advice."}