LegalFix
Sign In

Section 42:1A-33 - Dissociation; effects on partnership, partner

NJ Rev Stat § 42:1A-33 (2019) (N/A)
Copy with citation
Copy as parenthetical citation

42:1A-33. Dissociation; effects on partnership, partner

33. a. If a partner's dissociation results in a dissolution and winding up of the partnership business, Article 8 of this act applies; otherwise, Article 7 of this act applies.

b. Upon a partner's dissociation:

(1) the partner's right to participate in the management and conduct of the partnership business terminates, except as otherwise provided in section 41 of this act;

(2) the partner's duty of loyalty under paragraph (3) of subsection b. of section 24 of this act terminates; and

(3) the partner's duty of loyalty under paragraphs (1) and (2) of subsection b. and duty of care under subsection c. of section 24 of this act continue only with regard to matters arising and events occurring before the partner's dissociation, unless the partner participates in winding up the partnership's business pursuant to section 41 of this act.

L.2000,c.161,s.33.

Previous Section
Section 42:1A-32 - Dissociation of partners; wrongful conditions
Next Section
Section 42:1A-34 - Dissociation not resulting in dissolution; buyout; damages