It strikes me that it would be better to have one LLC plus lots of insurance (commercial general liability plus whatever additional insurance is appropriate for your type of business).
Furthermore, if you have sufficient assets at risk, you should retain a specialist in personal asset protection.
You are asking a business question rather than a legal question.
That said, a business lawyer with experience in the relevant industry may be able to provide some guidance. Use Avvo's Find a Lawyer to locate such an individual.
No one can provide a definitive answer on Avvo because much more information must be provided.
The short answer is that you need to form a legal entity, such as a limited liability company, to hold the money and the properties and an associated agreement that governs the parties' rights and obligations.
The slightly longer answer is that you need to retain a local real estate lawyer and an accountant to help you make sure that everything is done appropriately from the legal perspective and as tax-efficiently as possible. You cannot do this correctly by yourselves.
I agree with Attorney Ashouri.
It is critical - for legal and accounting purposes - to specify each member's capital contribution in the Operating Agreement. (As concerns accounting, please see the post at the link below.)
Please see the "What If the Health Club Is Sold to a New Owner?" section of the Department of Consumer Affairs publication at the link below.
You almost certainly cannot obtain definitive answers to your Qs on Avvo. As the publication suggests - and if the amount of money at stake is sufficiently high - you would need to retain a lawyer to examine the relevant facts and advise you. Indeed, a lawyer probably will elicit greater cooperation from the new owner than you can on your own.
In addition to the mandatory matters that my colleagues have cited, there are many other matters that you should at least be aware of, even if you choose not to act on them. Please see the nine-page document at the link below.
Although your scenarios seem unrealistic, the answer is that you retain a lawyer who is experienced in selling and licensing intellectual property who will protect your legal and business interests during contract negotiations.
As a practical matter, you may have a couple of approaches available (I know, from having advised clients in similar situations recently, that many details can get in the way).
As explained in the post at the first link below, half of the partners can elect to dissolve the partnership. However, there are steps that must be taken to wind up the partnership's business. Form GP-4 is optional and merely provides public notice once the dissolution has taken place - that form does not, itself,...
Totally apart from any legal issues this might raise (inappropriately avoiding tax and money-laundering laws, etc.), this transaction appears potentially to be covered by the adage "A fool and his money are soon parted."
It is reckless, to say the least, to give a huge amount of cash to a stranger. There is a significant likelihood that your friend will end up both without the cash and without the watch - and possibly with a credit card charge, too.
Your friend should do business only...