Delaware Code Title 6. Commerce and Trade § 15-703. Dissociated partner's liability to other persons
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(a) A partner's dissociation does not of itself discharge the partner's liability for a partnership obligation incurred before dissociation. A dissociated partner is not liable for a partnership obligation incurred after dissociation, except as otherwise provided in subsection (b) of this section.
(b) A partner who dissociates without resulting in a dissolution and winding up of the partnership business is liable as a partner to the other party in a transaction entered into by the partnership, or a surviving partnership under subchapter IX of this chapter, within 1 year after the partner's dissociation, only if the partner is liable for the obligation under § 15-306 of this title and at the time of entering into the transaction the other party:
(1) Reasonably believed that the dissociated partner was then a partner and reasonably relied on such belief in entering into the transaction;
(2) Did not have notice of the partner's dissociation; and
(c) By agreement with the partnership creditor and the partners continuing the business, a dissociated partner may be released from liability for a partnership obligation.
(d) A dissociated partner is released from liability for a partnership obligation if a partnership creditor, with notice of the partner's dissociation but without the partner's consent, agrees to a material alteration in the nature or time of payment of a partnership obligation.
Cite this article: FindLaw.com - Delaware Code Title 6. Commerce and Trade § 15-703. Dissociated partner's liability to other persons - last updated January 01, 2022 | https://codes.findlaw.com/de/title-6-commerce-and-trade/de-code-sect-6-703-nr3/
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