Topping v. Paddock

Citations

• 92 Ill. 92

Syllabus

<p>1. Partnership—right of partner to charge for interest on money borrowed. Where a partnership is formed, by three, two of whom are to furnish the capital, which they do furnish, the other to furnish no part thereof, in the absence of any agreement to that effect., either express or to be implied from the conduct of the parties, those furnishing the capital will not hare the right to charge the firm with interest paid by them on moneys borrowed by them in their own names with which to carry on the business of the firm.</p> <p>2. Same—whether money due partner is part of the capital. Where a former clerk is taken into co-partnership by a firm which was indebted to him, and the amount of such indebtedness is placed to his credit upon the new books, to which, on dissolution of the firm, is added his share of the net profits, such indebtedness will not be regarded as capital put in by such new member, but rather as a loan to the firm to be repaid him with his share of the profits.</p>