Currently, Justin lived with Jeremy and his wife in the same house and he is regarded as a family member of Jeremy. Each week for the past few years, Justin, Jeremy and Jeremy's wife Lucille all contributed monies with respect to the weekend's Lotto with the hope of striking it rich. Over that last few weeks, Jeremy travelled every week to the lottery agent to play the selected numbers. There was an informal agreement between the Justin and Jeremy, that the money spent on travelling etc. will be shares amongst the three parties inclusive of Jeremy's wife. In addition, whosoever wins the Lotto; the prize money would be shared amongst the three in equal amounts. Lucille was not present at the time of the agreement between Justin and Jeremy in relation to the sharing of the prize monies. However, it was assumed that she would agree to the terms, because she was quite aware of what was going on and Jeremy had always kept her informed on this matter. One day, Lucille was asked to travel and play the selected numbers for all the parties. To everyone surprise, they won the lotto in the sum of $6 million dollars that weekend. Justin upon hearing the news could not control himself with happiness. I am rich, I am rich, he kept saying. However, Lucille refused to pay the 1/3rd share to Justin, stating that the arrangement mentioned above between Justin and Jeremy was arrived in a domestic setting, for which she was not present. She also claimed that no legal agreement existed because they are all family members. a. Advise Justin on this matter
Currently, Justin lived with Jeremy and his wife in the same house and he is regarded as a family member of Jeremy. Each week for the past few years, Justin, Jeremy and Jeremy's wife Lucille all contributed monies with respect to the weekend's Lotto with the hope of striking it rich. Over that last few weeks, Jeremy travelled every week to the lottery agent to play the selected numbers. There was an informal agreement between the Justin and Jeremy, that the money spent on travelling etc. will be shares amongst the three parties inclusive of Jeremy's wife. In addition, whosoever wins the Lotto; the prize money would be shared amongst the three in equal amounts. Lucille was not present at the time of the agreement between Justin and Jeremy in relation to the sharing of the prize monies. However, it was assumed that she would agree to the terms, because she was quite aware of what was going on and Jeremy had always kept her informed on this matter. One day, Lucille was asked to travel and play the selected numbers for all the parties. To everyone surprise, they won the lotto in the sum of $6 million dollars that weekend. Justin upon hearing the news could not control himself with happiness. I am rich, I am rich, he kept saying. However, Lucille refused to pay the 1/3rd share to Justin, stating that the arrangement mentioned above between Justin and Jeremy was arrived in a domestic setting, for which she was not present. She also claimed that no legal agreement existed because they are all family members. a. Advise Justin on this matter
Chapter3: Income Sources
Section: Chapter Questions
Problem 108DC
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Currently, Justin lived with Jeremy and his wife in the same house and he is regarded as a family member of Jeremy. Each week for the past few years, Justin, Jeremy and Jeremy's wife Lucille all contributed monies with respect to the weekend's Lotto with the hope of striking it rich. Over that last few weeks, Jeremy travelled every week to the lottery agent to play the selected numbers. There was an informal agreement between the Justin and Jeremy, that the money spent on travelling etc. will be shares amongst the three parties inclusive of Jeremy's wife. In addition, whosoever wins the Lotto; the prize money would be shared amongst the three in equal amounts. Lucille was not present at the time of the agreement between Justin and Jeremy in relation to the sharing of the prize monies. However, it was assumed that she would agree to the terms, because she was quite aware of what was going on and Jeremy had always kept her informed on this matter. One day, Lucille was asked to travel and play the selected numbers for all the parties. To everyone surprise, they won the lotto in the sum of $6 million dollars that weekend. Justin upon hearing the news could not control himself with happiness. I am rich, I am rich, he kept saying. However, Lucille refused to pay the 1/3rd share to Justin, stating that the arrangement mentioned above between Justin and Jeremy was arrived in a domestic setting, for which she was not present. She also claimed that no legal agreement existed because they are all family members. a. Advise Justin on this matter
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