Manson v. Williams - 213 U.S. 453 (1909)
U.S. Supreme Court
Manson v. Williams, 213 U.S. 453 (1909)
Manson v. Williams
Argued April 20, 21, 1909
Decided May 3, 1909
213 U.S. 453
Where both the district court and circuit court of appeals have found as a fact that a partnership existed and owned the stock, while this Court may, it will not, as a general rule, disturb the findings.
While an adjudication putting two or more persons into bankruptcy as partners is, for the purpose of administering the property, good as against all the world, it does not establish the existence of the partnership except as against parties entitled to be heard, and that question is not res judicata as against one who had denied being a partner and had not been heard.
It will be presumed that one who furnished capital for business expects gain therefrom, and if he is not a creditor receiving interest, his gain must come from profits as a partner.
In this case, there being evidence to support the finding of the two lower courts that a partnership existed by an implied understanding between two brothers pending the formation of a corporation, this Court affirms the judgment notwithstanding that it might not necessarily have reached the same conclusion had the case been here tried in the first instance.
153 F. 525 affirmed.
The facts are stated in the opinion.