dissolved partnership and copyright

[Finelightphotog]

After forming an oral agreement 50/50 partnership photography studio with my then girlfriend, my now ex-girlfriend and I dissolved the partnership and I formed a new sole proprietorship to continue the business (with her blessing, i.e. verbal agreement to transfer of business assets). Now my former business partner is demanding images taken of her family members during the partnership for her own use with no compensation and is withholding my copies of the business books and tax documents. There was no 'work for hire' contract so I own the copyrights to the images and am not really worried about her threats to sue for those. I am concerned about my taxes and need the information to complete them. She had promised them in e-mails and now is refusing to turn them over. Now she is claiming there was no legal transfer of assets to the new business and she has consulted with legal counsel (her best friend is a divorce/family law attorney). The other images (of clients) are worth nothing without the signed releases she is holding, I won't use them for advertising without the release. I am looking for a suitable attorney at this time but wonder if I should contact the IRS about the withholding of business tax documents. Isn't that like not sending W-2s by the end of January?

As far as the copyrights and business value of the images, do I have to keep images that are no use to me after the business is dissolved? She did not request copies of any images at the time the business was dissolved so do I have any obligation to store/archive those images? I know she has a 50% interest in the images' value to the business but claims she can use images that were created before the partnership was formed.

I am also suspecting tax fraud and/or embezzlement may be the reason she is not producing the documents. I can get a document (merchant account app.) that we both signed and stated 50% ownership each. She may have claimed the entire business loss on her taxes. Who else should I contact besides an attorney?

Never again will I rely on verbal agreements in business or personal financial matters! Argh!!

Thanks for any insights

Finelightphotog

 

[Michael Wechsler]

I'm not entirely clear on the details, but let's look at it as a practical matter. Doesn't it make sense that the ex and her family don't want their pictures associated with your business? Do the pics really have value? If so, could you articulate it to her and her family and perhaps work out a deal that would best broker a settlement? After all, should all that work just be taken by one partner completely free and useless to the other party.

 

[Finelightphotog]

Thank you for your response. I gave her copies of the images with printing rights for personal use (with signed release) in exchange for the original business documents and tax papers and was able to file my taxes without an extension. The images were of no real value to my business as I had no signed model release to be able to use them. Since I have the rest of the dissolved partnership assets (images, camera equipment and presentation materials inventory) I can't really complain, lol. Lesson learned: Don't go into business with a significant other and if you do, get everything in writing!

Thanks again,

Finelightphotog