-16- Some of the formal manifestations of a joint venture are absent here due to the need to keep petitioner’s involvement in the enterprise undisclosed. Other than that aspect, petitioner advanced funds for the purpose of making a profit from the government road construction. Cities was the instrumentality used to obtain preferred treatment for Ms. Jackson’s status as a minority and/or woman owner. Without petitioner’s involvement, Cities was a mere shell without funding. Petitioner brought his government experience and financial capability, and Ms. Jackson brought her entrepreneurial skills, experience, and preferred status to the venture. The relationship between petitioner and Ms. Jackson (and her corporate business, Cities) came about due to Ms. Jackson’s financial difficulties. Cities, a corporation, was formed to address several needs and interests. Ms. Jackson was attempting to recover from financial difficulties and labor problems that she had encountered in a prior enterprise. Significantly, Cities' capital ownership was structured to take advantage of affirmative action contracting policies. Ms. Jackson owned 80 percent of the voting common stock, which entitled Cities to the preferred status of a "minority business enterprise" and a "woman business enterprise". Petitioner entered into a joint venture with Ms. Jackson to use Cities to accomplish the venturers’ goal of obtaining localPage: Previous 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Next
Last modified: May 25, 2011