UNIFORM PARTNERSHIP ACT (1997) (Last Amended 2013) Drafted by the NATIONAL CONFERENCE OF COMMISSIONERS ON UNIFORM STATE LAWS and by it APPROVED AND RECOMMENDED FOR ENACTMENT IN ALL THE STATES at its ANNUAL CONFERENCE MEETING IN ITS ONE-HUNDRED-AND-TWENTY-SECOND YEAR BOSTON, MASSACHUSETTS JULY 6 - JULY 12, 2013 WITH PREFATORY NOTE AND COMMENTS COPYRIGHT © 2014 By NATIONAL CONFERENCE OF COMMISSIONERS ON UNIFORM STATE LAWS August 19, 2015 ABOUT ULC The Uniform Law Commission (ULC), also known as National Conference of Commissioners on Uniform State Laws (NCCUSL), now in its 123rd year, provides states with non-partisan, well-conceived and well-drafted legislation that brings clarity and stability to critical areas of state statutory law. ULC members must be lawyers, qualified to practice law. They are practicing lawyers, judges, legislators and legislative staff and law professors, who have been appointed by state governments as well as the District of Columbia, Puerto Rico and the U.S. Virgin Islands to research, draft and promote enactment of uniform state laws in areas of state law where uniformity is desirable and practical. • ULC strengthens the federal system by providing rules and procedures that are consistent from state to state but that also reflect the diverse experience of the states. • ULC statutes are representative of state experience, because the organization is made up of representatives from each state, appointed by state government. • ULC keeps state law up-to-date by addressing important and timely legal issues. • ULC’s efforts reduce the need for individuals and businesses to deal with different laws as they move and do business in different states. • ULC’s work facilitates economic development and provides a legal platform for foreign entities to deal with U.S. citizens and businesses. • Uniform Law Commissioners donate thousands of hours of their time and legal and drafting expertise every year as a public service, and receive no salary or compensation for their work. • ULC’s deliberative and uniquely open drafting process draws on the expertise of commissioners, but also utilizes input from legal experts, and advisors and observers representing the views of other legal organizations or interests that will be subject to the proposed laws. ULC is a state-supported organization that represents true value for the states, providing services that most states could not otherwise afford or duplicate. DRAFTING COMMITTEE FOR UNIFORM PARTNERSHIP ACT (1994) The Committee that acted for the National Conference of Commissioners on Uniform State Laws in preparing the Uniform Partnership Act (1994) was as follows: H. LANE KNEEDLER, Suite 600, 411 East Franklin Street, P.O. Box 3-K, Richmond, VA 23206, Chair GEORGE H. BUXTON, III, P.O. Box 5389, Oak Ridge, TN 37831 ROBERT H. CORNELL, 34th Floor, 101 California Street, San Francisco, CA 94111 WILLIAM C. GARDNER, 4366 Argyle Terrace, N.W., Washington, DC 20011 HARRY J. HAYNSWORTH, IV, Southern Illinois University, School of Law, Lesar Law Building, Douglas Drive, Carbondale, IL 62901 MENDES HERSHMAN, 20th Floor, 575 Madison Avenue, New York, NY 10022 THOMAS L. JONES, University of Alabama, School of Law, P.O. Box 5557, University Station, Tuscaloosa, AL 35486 MORRIS W. MACEY, Suite 700, 133 Carnegie Way, N.W., Atlanta, GA 30303 FRANCIS J. PAVETTI, P.O. Box 829, Court House Square Building, New London, CT 06320 HAROLD E. READ, JR., 5631 East Desert Vista Trail, Cave Creek, AZ 85331 HOWARD J. SWIBEL, Suite 1200, 120 South Riverside Plaza, Chicago, IL 60606 M. GAY TAYLOR, Office of Legislative Research, 436 State Capitol, Salt Lake City, UT 84114 DONALD J. WEIDNER, Florida State University, College of Law, 425 West Jefferson Street, Tallahassee, FL 32306, Reporter JOHN W. LARSON, Florida State University, College of Law, 425 West Jefferson Street, Tallahassee, FL 32306, Assistant Reporter EX OFFICIO RICHARD C. HITE, 200 West Douglas Avenue, Suite 630, Wichita, KS 67202, President K. KING BURNETT, P.O. Box 910, 115 Broad Street, Salisbury, MD 21803, Chair, Division A AMERICAN BAR ASSOCIATION ADVISORS ALLAN G. DONN, American Bar Association S. STACY EASTLAND, American Bar Association, Section of Real Property, Probate and Trust Law, Probate and Trust Division CARYL B. WELBORN, American Bar Association, Section of Real Property, Probate and Trust Law, Real Property Division EXECUTIVE DIRECTOR FRED H. MILLER, University of Oklahoma, College of Law, 300 Timberdell Road, Norman, OK 73019, Executive Director WILLIAM J. PIERCE, 1505 Roxbury Road, Ann Arbor, MI 48104, Executive Director Emeritus REVIEW COMMITTEE JOHN FOX ARNOLD, 714 Locust Street, St. Louis, MO 63101, Chair L. S. JERRY KURTZ, JR., 810 N Street, Anchorage, AK 99501 ROGER P. MORGAN, P.O. Box 588, Mystic, CT 06355 DRAFTING COMMITTEE FOR LIMITED LIABILITY PARTNERSHIP AMENDMENTS TO UNIFORM PARTNERSHIP ACT (1997) The Committee that acted for the National Conference of Commissioners on Uniform State Laws in preparing the Uniform Partnership Act (1996) was as follows: HARRY J. HAYNSWORTH, IV, William Mitchell College of Law, 875 Summit Avenue, St. Paul, MN 55105, Chair ANN E. CONAWAY ANKER, Widener University, School of Law, P.O. Box 7474, Wilmington, DE 19803 REX BLACKBURN, Suite 200, 1101 W. River Street, P.O. Box 959, Boise, ID 83701 STANLEY M. FISHER, 1100 Huntington Building, Cleveland, OH 44115 FRANCIS J. PAVETTI, P.O. Box 829, Court House Square Building, New London, CT 06320 REED L. MARTINEAU, P.O. Box 45000, 10 Exchange Place, Salt Lake City, UT 84145 JOHN M. SPANGLER, Legislative Research Commission, Room 409, State Capitol, Frankfort, KY 40601 HOWARD J. SWIBEL, Suite 1200, 120 South Riverside Plaza, Chicago, IL 60606 JUSTIN L. VIGDOR, 2400 Chase Square, Rochester, NY 14604 CARTER G. BISHOP, Suffolk University Law School, 41 Temple Street, Boston, MA 02114, Reporter EX OFFICIO BION M. GREGORY, Office of Legislative Counsel, State Capitol, Suite 3021, Sacramento, CA 95814-4996, President HENRY M. KITTLESON, P.O. Box 32092, 92 Lake Wire Drive, Lakeland, FL 33802, Chair, Division E AMERICAN BAR ASSOCIATION ADVISORS ELIZABETH G. HESTER, ABA, Richmond, VA LOU CONTI, ABA Section of Business Law, Orlando, FL STEVEN G. FROST, ABA Section of Taxation, Chicago, IL PROFESSOR THOMAS E. GEU, ABA Section of Real Property, Probate and Trust, University of South Dakota School of Law SANFORD J. LIEBSCHUTZ, ABA Section of Real Property, Probate and Trust and American College of Real Estate Lawyers, Rochester, NY EXECUTIVE DIRECTOR FRED H. MILLER, University of Oklahoma, College of Law, 300 Timberdell Road, Norman, OK 73019, Executive Director WILLIAM J. PIERCE, 1505 Roxbury Road, Ann Arbor, MI 48104, Executive Director Emeritus DRAFTING COMMITTEE ON HARMONIZATION OF BUSINESS ENTITY ACTS The Committee appointed by and representing the National Conference of Commissioners on Uniform State Laws in preparing the harmonized uniform unincorporated entity acts consists of the following individuals: HARRY J. HAYNSWORTH, 108 Addingtons, Williamsburg, VA 23188, Chair WILLIAM H. CLARK, JR., One Logan Square, 18th and Cherry Sts., Philadelphia, PA 19103- 6996, Vice-Chair ANN E. CONAWAY, 302 High Ridge Rd., Greenville, DE 19807 THOMAS E. GEU, University of South Dakota School of Law, 414 Clark St., Suite 214, Vermillion, SD 57069-2390 DALE G. HIGER, 1302 Warm Springs Ave., Boise, ID 83712 JAMES C. MCKAY, JR., Office of the Attorney General for the District of Columbia, 441 Fourth St. NW, 6th Floor S., Washington, DC 20001 MARILYN E. PHELAN, 306 Peninsula Ct., Granbury, TX 76048 WILLIAM J. QUINLAN, Two First National Plaza, 20 S. Clark St., Suite 2900, Chicago, IL 60603 KEVIN P. SUMIDA, 735 Bishop St., Suite 411, Honolulu, HI 96813 JUSTIN L. VIGDOR, 350 Linden Oaks, Suite 310, Rochester, NY 14625-2825 DAVID S. WALKER, Drake University Law School, 2507 University Ave., Des Moines, IA 50311 CARTER G. BISHOP, Suffolk University Law School, 120 Tremont St., Boston, MA 02108- 4977, Co-Reporter DANIEL S. KLEINBERGER, 1818 Twin Circle Drive, Mendota Heights, MN 55118, Co- Reporter EX OFFICIO ROBERT A. STEIN, University of Minnesota Law School, 229 19th Ave. S., Minneapolis, MN 55455, President MARILYN E. PHELAN, 306 Peninsula Ct., Granbury, TX 76048, Division Chair AMERICAN BAR ASSOCIATION ADVISORS ROBERT R. KEATINGE, 555 17th St., Suite 3200, Denver, CO 80202-3979, ABA Advisor WILLIAM J. CALLISON, 3200 Wells Fargo Center, 1700 Lincoln St., Denver, CO 80203, ABA Section Advisor ALLAN G. DONN, Wells Fargo Center, 440 Monticello Ave., Suite 2200, Norfolk, VA 23510- 2243, ABA Section Advisor WILLIAM S. FORSBERG, 150 S. Fifth St., Suite 2300, Minneapolis, MN 55402-4238, ABA Section Advisor BARRY B. NEKRITZ, 311 S. Wacker Dr., Suite 4400, Chicago, IL 60606, ABA Section Advisor JAMES J. WHEATON, 1716 Corporate Landing Pkwy., Virginia Beach, VA, 23454, ABA Section Advisor EXECUTIVE DIRECTOR JOHN A. SEBERT, 111 N. Wabash Ave., Suite 1010, Chicago, IL 60602, Executive Director Copies of this Act may be obtained from: NATIONAL CONFERENCE OF COMMISSIONERS ON UNIFORM STATE LAWS 111 N. Wabash Ave., Suite 1010 Chicago, Illinois 60602 312/450-6600 www.uniformlaws.org UNIFORM PARTNERSHIP ACT (1997) (Last Amended 2013) TABLE OF CONTENTS UNIFORM PARTNERSHIP ACT—QUICK CHRONOLOGY .................................................... 1 PREFATORY NOTE TO UNIFORM PARTNERSHIP ACT (1997) .......................................... 2 PREFATORY NOTE TO 2011 AND 2013 HARMONIZATION AMENDMENTS ...................... 6 EXPLANATORY NOTE ON THE REVISED COMMENTS ......................................................