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Essay Multiple Choice

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All Jurisprudence based

0 tracked cards Commercial and Taxation Laws

A business employee receives a salary plus a bonus paid as a share of profits. The evidence establishes genuine employment, no partnership agreement, no contribution to a partnership common fund and no holding out as a partner. A supplier says the bonus alone proves partnership and disregards its wage character. Which answer best applies Article 1769?

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A profit percentage always overrides the proven legal character of a payment. A salary is an automatic share-capital subscription. The wage-payment exception prevents that inference from the bonus alone; partnership would need an independent legal and factual basis. The employee automatically becomes liable for every business debt as a partner.

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