Martinez V. Ong Pong Co 5y333k

Martinez v. Ong Pong Co Facts:

Martinez delivered P1,500 to Ong Pong Co and Ong Lay to invest in a store. They agreed that the profits and losses would be equally shared by all of them.

Martinez was demanding for the two Ongs to render an ing or to refund him the P1,500.

Ong Pong Co alleged that Ong Lay, now deceased, was the one who managed the business, and the capital of P1,500 resulted in a loss so that he should not be made liable Issue: WON Ong Pong Co is liable? YES What is the extent of his liability? t Held: Th e 2 partners (Ongs) were t h e s/managers and are obliged torender ing. Since neit h er of t h em rendered an , nor proved t h ealleged losses, t

h ey are obliged to return t h e capital to Martinez.W h ere two partners receive from anot h er a sum of money for t h e establis h mentof a business, and agree to s h are wit h t h e latter t h e profits or losses t h at mayresult t h

erefrom, t h e said two persons, as t h e apparent s of t h epartners h ip, acted as agents for t h e capitalist partner, and by virtue t h ereof arebound to fulfill t h e contract w h ic h implies t h e management of t h e business.Article 1796 is not applicable because no ot

h er money t h an t h at contributed ascapital was involved. Th e liability of t h e partners is t. Ong Pong Co s h all onlypay P750 to Martinez.