Fortis vs. Hermanos

Fortis vs. Hermanos

Facts:

 

Plaintiff Fortis is an employee of defendant Gutierrez Hermanos. Theformer brought an action to recover a balance due him as salary forthe year 1902. He also alleged that he was entitled, as salary, to 5 percent of the net profits of the business of the defendants for said year. The complaint also contained a cause of action for the sum of 600pesos, money expended by plaintiff for the defendants during the year1903. The lower court ruled in favor of the plaintiff. The total judgmentrendered amounted to P13, 025.40, which was reduced to Philippinecurrency. The defendants moved for new trial but were denied. They brought the case in the SC thru bill of exceptions; the appellants(defendants) alleged that that the contract made the plaintiff acopartner of the defendants in the business, which they were carrying on.

 

Issue: WON the plaintiff is a co-partner of the defendants in the business.

 

Ruling:

 

NO. It was a mere contract of employment. The plaintiff had neithervoice nor vote in the management of the affairs of the company. Thefact that the compensation received by him was to be determined withreference to the profits made by the defendants in their business didnot in any sense make by a partner therein. The articles of partnershipbetween the defendants provided that the profits should be dividedamong the partners named in a certain proportion. The contract madebetween the plaintiff and the then manager of the defendantpartnership did not in any way vary or modify this provision of thearticles of partnership.