1. A joint venturer cannot exploit for himself an opportunity for the joint venture, unless the other joint venturer(s) clearly, unambiguously, and permanently renounce their interest in that opportunity. If possible, that should be in writing, so there is no question. Appropriating an opportunity of a joint venturer is a serious breach of fiduciary responsibilities. It is not clear if a joint venture exists between you and the local artist but discretion is the better part of valor here. 2. In any event, there is a more important issue at hand. My understanding is that your business idea rests on the infringement of intellectual property of various sports franchises. If my understanding is correct, I would strongly recommend that you substantially modify your business idea to avoid this infringement. If you are infringing the intellectual property rights of others, you could be sued and an order issued against you that will block you from manufacturing items that infringe upon those rights, among other things. You could also be liable in monetary damages. At a minimum, the products you manufacture must be free of any intellectual property infringement issues. 3. If you decide to proceed, I strongly suggest you get competent business counsel to help you work through the joint venture and intellectual properties here. This could be extremely risky for you. Quoting Question From LawQA : ANSWER A QUESTION THAT WILL BE DISPLAYED ON CALIFORNIA EMPLOYMENT WEBSITES ON THE LAWQA NETWORK. LAW AREA: EMPLOYMENT STATE: CALIFORNIA ID:73103 Question: What are my rights in pursue a business opportunities stemming from a joint venture? Question Detail: A local artist has a product that he makes, markets and sells which includes the illegal use of sports copyrights, insignias and trademarks. He makes and markets them on a small scale due to that fact that they are handmade and the illegal use of the sports copyrights. I approached him about researching and developing the product for the mass market. From researching/developing the new manufacturing process, copyright and licensing, sourcing product/ manufacturing vendors, to having prototypes made, to making signicant business contacts for distribution and marketing channels, I have compiled an impressive business model and package. I feel he is still hesitant because of financing and possibly isn't as committed as I am, but I don't wan to/won't hand over or walk away from my efforts. We have no formal business arrangements, he also has not made any strides to pursue these options, licenses and to safeguard these ideas on his own, but I am ready to. What are my rights about moving forward on my own behalf to make sure I take advantage of time sensitive opportunities.
Answered on Aug 20th, 2012 at 12:14 AM