Wilford Brimhouse is a limited partner in a real estate partnership which owns an office building. The income/loss summary for the partnership looks as follows: 2008: (100,000) 2009: 25,000 Wilford is a broker and had personal income of 121,000 in 2008 and 97,000 in 2009. What losses can Wilford deduct?
Question 2
Joe's Barbecue negotiated a lease for space in a strip mall with Diamond Enterprises, the owner of the strip mall. During negotiations for the lease, the agent for Diamond told Joe that the crime rate in the area was very low and that the strip mall had not experienced any criminal activity. The agent also told Joe that the strip mall had surveillance cameras that were not readily visible, but that were running 24 hours per day. Two months after Joe opened for business, assailants entered his restaurant, robbed his customers, and shot Joe. Joe filed suit against Diamond because he learned that there were no surveillance cameras and that two other stores in the shopping center had experienced similar incidents. Diamond has an exculpatory clause in its lease that reads: shareholders, directors, officers, agents, employees, and staff of Diamond shall not be held liable for any damage or loss of property or injury from any cause whatsoever, including, but not limited to, fire, theft . . . The exculpatory clause in the lease is:
A) Void.
B) Voidable.
C) Enforceable.
D) Too narrow to be valid.
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