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§ 29-1052 Partner's power to dissociate; wrongful dissociation

AZ Rev Stat § 29-1052 (2019) (N/A)
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29-1052. Partner's power to dissociate; wrongful dissociation

A. A partner has the power to dissociate at any time, rightfully or wrongfully, by express will pursuant to section 29-1051, paragraph 1.

B. A partner's dissociation is wrongful only if either:

1. It is in breach of an express provision of the partnership agreement.

2. In the case of a partnership for a definite term or particular undertaking, before the expiration of the term or the completion of the undertaking either:

(a) The partner withdraws by express will, unless the withdrawal follows within ninety days after another partner's dissociation by death or otherwise under section 29-1051, paragraphs 6 through 10 or wrongful dissociation under this subsection.

(b) The partner is expelled by judicial determination under section 29-1051, paragraph 5.

(c) The partner is dissociated by becoming a debtor in bankruptcy.

(d) In the case of a partner who is not an individual, trust other than a business trust, or estate, the partner is expelled or otherwise dissociated because it wilfully dissolved or terminated.

C. A partner who wrongfully dissociates is liable to the partnership and to the other partners for damages caused by the dissociation. The liability is in addition to any other obligation of the partner to the partnership or to the other partners.

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