The 1010 Company, L.P. v. M & S Management Associates

15 Misc.3d(A), 841 N.Y.S.2d 821 (Sup. Ct. 2007).  We represented a landlord in this action against a partnership and the individual doctor who signed the lease on behalf of the partnership company.  The Supreme Court agreed with us that an individual partner may be jointly liable for the partnership debts when the partnership’s property is insufficient.  The defendants had argued that the partnership was really a corporation (not a partnership) and therefore the individual doctor should not be held liable.  We successfully established that the doctor was a “partner by estoppel.”  The Supreme Court concluded that one who makes and consents to continued representations that a partnership exists, is estopped to deny the existence of the partnership.  The court recognized that “partnership by estoppel” is not to be lightly invoked and generally raises issues of fact, but held that here the evidence left no question for trial.