1. A person has the power to dissociate as a general partner at any time, rightfully or wrongfully, by express will pursuant to section 488.603, subsection 1. 2. A person’s dissociation as a general partner is wrongful only ifeither of the following applies: a. The dissociation is in breach of an express provision of the partnership agreement. b. The dissociation occurs before the termination of the limited partnership, and at least one of the following also applies: (1) The person withdraws as a general partner by express will. (2) The person isexpelled as a general partner by judicial determination under section 488.603, subsection 5. (3) The person is dissociated as a general partner by becoming a debtor in bankruptcy. (4) In the case of a person that is not an individual, trust other than a business trust, or estate, the person isexpelled or otherwise dissociated as a generalpartner because itwillfully dissolved or terminated. 3. A person that wrongfully dissociates as a general partner is liable to the limited partnership and, subject to section 488.1001, to the other partners for damages caused by the dissociation. The liabilityis in addition to any other obligation of the general partner to the limited partnership or to the other partners.
‹ Prev All Iowa sections Next ›
Lexace provides legal information, not legal advice, and no attorney–client relationship is created. Statute text is provided for general information and may not reflect the most recent amendments; verify against the official state code.