About to start online ad placement service

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Reference no: EM131750997

X and Y are about to start an online ad placement service that they will conduct as a partnership. X is contributing substantially fewer tangible assets to the partnership than Y is contributing, but X’s prominence in the business community and his business connections are vital to the success of the partnership. Both X and Y have asked you to determine the relative percentage ownership that each should have in their new partnership. Y is aware that you have had a long-standing social and professional relationship with X and have consented to waiving this conflict of interest.

Based on your friendship with X, you know that he has a serious heart condition that might soon prevent him from actively working in furtherance of the new partnership. You have asked X to disclose his health condition to Y, but X does not want any- one to know about this potential physical limitation. X reminded you that, years ago, you agreed to respect his medical condition as private and confidential. Can you perform this professional engagement for X and Y? Explain?

Reference no: EM131750997

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