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Current as of January 01, 2023 | Updated by FindLaw Staff
Where partnership contract is rescinded on the ground of the fraud or misrepresentation of one of the parties thereto, the party entitled to rescind is, without prejudice to any other right, entitled,
(1) To a lien on, or right of retention of, the surplus of the partnership property after satisfying the partnership liabilities to third persons for any sum of money by him for the purchase of an interest in the partnership and for any capital or advances contributed by him; and
(2) To stand, after all liabilities to third persons have been satisfied, in the place of the creditors of the partnership for any payments made by him in respect of the partnership liabilities; and
(3) To be indemnified by the person guilty of the fraud or making the representation against all debts and liabilities of the partnership.
Cite this article: FindLaw.com - North Carolina General Statutes Chapter 59. Partnership § 59-69. Rights where partnership is dissolved for fraud or misrepresentation - last updated January 01, 2023 | https://codes.findlaw.com/nc/chapter-59-partnership/nc-gen-st-sect-59-69/
FindLaw Codes may not reflect the most recent version of the law in your jurisdiction. Please verify the status of the code you are researching with the state legislature or via Westlaw before relying on it for your legal needs.
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