Legal Question in Business Law in Pennsylvania

Do I have a lawsuit?

I made an oral agreement with a guy to purchase his niteclub. It was an article of agreement but he would'nt sign anything until as he put it,''Let's just see how things go''. I operated the club for seven months buying all the liqour and beer, making major improvements upon the establishment, hiring and paying employees, paying my mortgage to him, paying all of the overhead, having utilities put into my name, and made the club extremely profitable. After I started to do well, the guy changed the locks on the establishment, and told me that I was out. He claimed that our agreement wasnt enforceable because it's illegal to lease out a liquor license. Also, he said where's the written terms of our agreement? Do I have a case for fraud?


Asked on 11/18/08, 3:25 pm

1 Answer from Attorneys

Roger Traversa Arjont Group (Law Office of Roger Traversa)

Re: Do I have a lawsuit?

You asked a potential lawsuit.

You've got a great claim and should seek counsel immediately.

You'll need to prove many things, but your operation of the club will go a long way. Your attorney will point out to him that if it is illegal to "lease out a liquor license" then the crime is on him. It would not be illegal for you to have operated the club.

My guess is that with the right attorney the matter will settle quickly.

Do not approach the person with a threat of reporting the violation as that in itself would be actionable.

Regards,

Roger

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Answered on 11/18/08, 4:15 pm


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