Corporations and Partnerships with Respect to Ribbit: Difference between revisions
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Corporations and Partnerships with Respect to Ribbit (view source)
Revision as of 21:23, 13 July 2020
, 13 July 2020→Obligation of the Agent to Invest the Money
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# The agent investing the money on behalf of the investor is considered a paid watchman ([[shomer]]) since he is being paid for his work.<ref>Shulchan Aruch Y.D. 177:5</ref> | # The agent investing the money on behalf of the investor is considered a paid watchman ([[shomer]]) since he is being paid for his work.<ref>Shulchan Aruch Y.D. 177:5</ref> | ||
====Obligation of the Agent to Invest the Money==== | ====Obligation of the Agent to Invest the Money==== | ||
# The agent should only invest in whatever was agreed upon in the iska agreement.<ref>Tosefta b"m 4:21 establishes that someone who takes an iska arrangement can buy any type of food or animal and not utensils or wood since they was the stipulation. Shulchan Aruch Y.D. 177:38 codifies this. | # The agent should only invest in whatever was agreed upon in the iska agreement.<ref>Tosefta b"m 4:21 establishes that someone who takes an iska arrangement can buy any type of food or animal and not utensils or wood since they was the stipulation. Shulchan Aruch Y.D. 177:38 codifies this. Shach 177:66 explains that there is another possible reason to forbid an agent from investing in a type of investment and that is because it is a bad investment. Chelkat Binyamin 177:289 expands this halacha to include any stipulation they agreed to.</ref> | ||
# If the agent didn't fulfill his obligation to invest the money the investor can justifiably be upset with the agent but nonetheless, the agent is exempt from paying the investor anything more than his capital.<ref>Shulchan Aruch Y.D. 177:40</ref> | # If the agent didn't fulfill his obligation to invest the money the investor can justifiably be upset with the agent but nonetheless, the agent is exempt from paying the investor anything more than his capital.<ref>Shulchan Aruch Y.D. 177:40</ref> | ||
# If the agent is paid to spend all of his time working on investing the money then he isn't allowed to invest for himself on the side. If he does and profits, those profits belong to the investor.<ref>Tosefta b"m 4:13, Shulchan Aruch Y.D. 177:29, Shach 177:44, Taz 177:67, Netivot Hamishpat CM 176:20, Chelkat Binyamin 177:234</ref> | # If the agent is paid to spend all of his time working on investing the money then he isn't allowed to invest for himself on the side. If he does and profits, those profits belong to the investor.<ref>Tosefta b"m 4:13, Shulchan Aruch Y.D. 177:29, Shach 177:44, Taz 177:67, Netivot Hamishpat CM 176:20, Chelkat Binyamin 177:234</ref> | ||
