Morley v. The Queen, 2004 DTC 2604, 2004 TCC 280, briefly aff'd 2006 DTC 6351, 2006 FCA 171 -- summary under Section 96

In finding that a partnership had been formed notwithstanding that it never made any sales of its software, Archambault J. noted that a partnership agreement was executed in writing between the general partner and the initial limited partner, the partnership also worked on its marketing plan and gave some demonstrations; and in the subsequent year it pursued a potential lead and hired consultants to evaluate the software and prepare numerous marketing evaluation documents and prepare demonstrations for potential customers. Archambault J. noted (at p. 2623) that "when a partnership is being formed, it is normal that its energies be devoted initially to raising the capital necessary to finance its business activities".