Court Opinion

ID: 9625870
Source: CourtListenerOpinion
Date Created: 2023-08-22 07:53:36.155218+00
Date Added: 2024-06-11T18:06:16.253430
License: Public Domain

BRAND, A. C. J.,
concurring in the result.
I agree that the majority opinion demonstrates that the defendant, before November 2, 1946, was guilty of a breach of his obligation of fidelity to the plaintiffs with whom he stood in the position of a partner. During that time he entered into negotiations for his own private advancement in a matter in which the partnership was interested, and failed to make disclosures of his activities to his partners. I also agree that the scope of inquiry upon remand of the case for further proceedings should be enlarged, if either party desires it, for an accounting concerning the dealings of the partnership during the period in which the defendant was a member thereof. I am content that the matter should be remanded to the circuit court for an attempted accounting, but I have grave doubts as to whether a satisfactory and legal basis of an accounting can be found in a case where, as here, the breach of fiduciary *278duty by the defendant consisted in the fact that during a period of one month he withheld information from his partners and negotiated for his own benefit with third parties, and then withdrew from the partnership and entered into some agreement for financing with the third parties.
The case which is presented here differs materially from one in which a partner purchases for his own benefit a piece of land or other property, the opportunity to purchase which, belonged to his partnership. In the case at bar, the opportunity was for a business arrangement whereby third parties were to furnish finances, but under what terms and conditions, and for how long a period of time, appears to be uncertain. By concurring in the result reached by the majority, I do not wish to be understood as agreeing in advance that a satisfactory legal basis for an accounting subsequent to November 2, 1946, can be found by the trial judge. The briefs whieh have been submitted are devoted almost exclusively to establishing the breach of fiduciary obligation. The difficulties which will confront the trial judge in an accounting were not, and perhaps could not be considered at this time. Therefore, notwithstanding my doubts as to the possibility of a satisfactory accounting, I concur in the decision that the attempt should be made.