Vermont § 3212 - Formation of partnership

§ 3212. Formation of partnership

• (a) Except as otherwise provided in subsection (b) of this section, the association of
  two or more persons to carry on as co-owners a business for profit forms a partnership,
  whether or not the persons intend to form a partnership. (b) An association formed under a statute other than this chapter, a predecessor statute,
  or a comparable statute of another jurisdiction is not a partnership under this chapter
  except that a statute of another jurisdiction relating to the formation of partnerships
  or limited liability partnerships shall be deemed to be a comparable statute. (c) In determining whether a partnership is formed, the following rules apply: (1) Joint tenancy, tenancy in common, tenancy by the entireties, joint property, common
  property, or part ownership does not by itself establish a partnership, even if the
  co-owners share profits made by the use of the property. (2) The sharing of gross returns does not by itself establish a partnership, even if the
  persons sharing them have a joint or common right or interest in property from which
  the returns are derived. (3) A person who receives a share of the profits of a business is presumed to be a partner
  in the business, unless the profits were received in payment: (A) of a debt by installments or otherwise; (B) for services as an independent contractor or of wages or other compensation to an
  employee; (C) of rent; (D) of an annuity or other retirement or health benefit to a beneficiary, representative,
  or designee of a deceased or retired partner; (E) of interest or other charge on a loan, even if the amount of payment varies with the
  profits of the business, including a direct or indirect present or future ownership
  of the collateral, or rights to income, proceeds, or increase in value derived from
  the collateral; or (F) for the sale of the goodwill of a business or other property by installments or otherwise. (Added 1997, No. 149 (Adj. Sess.), § 1, eff. Jan. 1, 1999.)