Community Magazine January 2017

YOU JUDGE! BE THE DOUBLE CROSSED? Harry, a real estate developer, agreed to become partners with Steve, who would provide the financial backing for the building of a new shopping mall. The two decided that Harry’s corporation would offer their bid on the property for sale and, if their bid was accepted, Steve would arrange the payment. At first their bid was rejected but, months later, when the highest bidder was disqualified, Harry’s corporation ultimately purchased the property. Steve pressed charges against Harry in Bet Din claiming that he swindled the deal from him. Harry, the winner of the auction, sold 50% of the shares to another investor for five million dollars upfront. Steve not only demanded that half of that sum be forwarded to him, he also claimed to be owed half the anticipated revenue once the shopping mall was complete. Harry confirmed that he sold half the shares for five million dollars to an outside investor, but defended that Steve left out a very important detail in his story. Harry asserted that Steve phoned him to back out of the deal almost immediately after they offered their bid for the property. Harry said, that the explanation Steve gave him for reneging was that another opportunity came up which would tie up most of his available credit line. Steve responded by denying that any such phone call took place and that Harry used him to secure the purchase and later dumped him. Is Steve entitled to the proceeds of the shares sold by Harry? HOW SHOULD THE BET DIN RULE ANDWHY? YOU BE THE JUDGE and send your response to YouJudge@CommunityM.com Verdicts – and the accompanying rationale – will be reviewed by the Rosh Bet Din. The first three correct submissions received before the deadline will win a $50 gift certificate to a Community Magazine advertiser! Correct entries will receive honorable mention in the next issue when the Rosh Bet Din’s verdict is printed. TEVET 5777 JANUARY 2017 45