The president of Kool Science wants to draw up a written contract because it is unclear what type of law will be applied if there are problems. However, the president of Language Fun states that, although it is always a good idea to have a written contract, it is not necessary because partnership law will be applied if there are problems. Who is correct?

A) Kool Science's president is correct because a formal agreement is required for a joint venture.
B) Kool Science's president is correct because courts will not know what type of law to apply without an express written provision in a contract.
C) Language Fun's president is correct because a joint venture may be formed without drawing up a formal agreement since the parties are required to file a certificate of joint venture with the state.
D) Language Fun's president is correct because a joint venture may be formed without drawing up a formal agreement, and courts frequently apply partnership law to joint ventures.
E) Neither person is correct.

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Zybrea Knight · Accepted Answer

Final Answer : D, Explanation :  Language Fun's president is correct because a joint venture, which is essentially a partnership for a limited purpose or a single project, can indeed be formed without a formal written agreement. Courts often apply partnership law to joint ventures, recognizing the similarities in the structure and function of these business arrangements.

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