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Lots of questions, a few answers:

A.) Yes, move on. Pack up all your work and put it in a safe place.

B.) Learn from it. In the future, all of the equity and administrative decisions should be made and agreed upon before writing any lines of code.

C.) While it might be satisfying to take your work and launch yourself (or hit him with a free service), think hard about it, and definitely consult a lawyer. It will be a sticky situation.

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Point B cannot be overstated. You should always have your corporate structure in order before you start working on a business endeavor with anyone -- even people you know well. Forming an LLC with an easy-to-understand operating agreement might take two four hour chunks of time and will save untold headaches down the road.

"You should always have your corporate structure in order before you start working on a business endeavor"

Sorry, that just doesn't sound practical. Do all you people actually do this?

They do not, and that's one of the primary causes of problems like this. Just because it's the intelligent thing to do does NOT mean that intelligent people actually do it!

It sounds to me like it just introduces more friction to Getting Things Done, which would not be the Intelligent Thing To Do.

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