Effect of Partner's Dissociation

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  1. If a partner's dissociation results in a dissolution and winding up of the partnership business, part 8 of this chapter applies; otherwise, part 7 of this chapter applies.
  2. 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 § 61-1-803;
    2. The partner's duty of loyalty under § 61-1-404(b)(3) terminates; and
    3. The partner's duty of loyalty under § 61-1-404(b)(1) and (2) and duty of care under § 61-1-404(c) 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 § 61-1-803.


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