Rotan v. Commissioner

FOSTER, Circuit Judge.

In this ease the following facts appear without dispute: Hugo Y. Neuhaus had been' conducting a brokerage business at Houston, Tex., for a number of years, under the firm name of Neuhaus & Co. By written agreements, the petitioner, George Y. Rotan, became a partner in the firm for five years, from January 1, 1920. In addition to the capital invested, Rotan paid Neuhaus individually $37,500 for a five-fourteenth interest in the good will of the business. The agreements provided that, in the event of Rotan’s death or incapacity before the expiration of the partnership, a…