Wind, who has been a partner in the PLW general partnership for 4 years, decides to withdraw from the partnership despite a written partnership agreement that states, "No partner may withdraw for a period of 5 years." Under the Revised Uniform Partnership Act (RUPA), what is the result of Wind’s withdrawal?

Respuesta :

Answer:

Wind's withdrawal will result to dissociation from the partnership despite being in breach of the partnership agreement.

Explanation:

In accordance with the RUPA (Revised Uniform Partnership Act), a partnership is referred to as an entity which is substantially different from its partners. Any of the entity’s partner is allowed (if not the right) to dissociate or separate at any point in time.

However, if the partner separates from the partnership wrongfully, (s)he is liable for any damages incurred by the other partners as a result of his/her actions. After dissociation, the entity can continue following the purchase of the dissociated partner’s interest or the entity dissolution begins.