Delaware § 15-504 Partner’s economic interest subject to charging order

Delaware Statutes

§ 15-504 — Partner’s economic interest subject to charging order

Delaware·Title 6·Ch. 15 DELAWARE REVISED UNIFORM PARTNERSHIP ACT·Subch. Transferees and Creditors of Partner

(a)On application by a judgment creditor of a partner or of a partner’s transferee, a court having jurisdiction may charge the economic interest of the judgment debtor to satisfy the judgment. To the extent so charged, the judgment creditor has only the right to receive any distribution or distributions to which the judgment debtor would otherwise have been entitled in respect of such economic interest.

(b)A charging order constitutes a lien on the judgment debtor’s economic interest in the partnership.

(c)This chapter does not deprive a partner or a partner’s transferee of a right under exemption laws with respect to the judgment debtor’s economic interest in the partnership.

(d)The entry of a charging order is the exclusive remedy by which a judgment creditor of a partner or of a

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(a) On application by a judgment creditor of a partner or of a partner’s transferee, a court having jurisdiction may charge the economic interest of the judgment debtor to satisfy the judgment. To the extent so charged, the judgment creditor has only the right to receive any distribution or distributions to which the judgment debtor would otherwise have been entitled in respect of such economic interest.

(b) A charging order constitutes a lien on the judgment debtor’s economic interest in the partnership.

(c) This chapter does not deprive a partner or a partner’s transferee of a right under exemption laws with respect to the judgment debtor’s economic interest in the partnership.

(d) The entry of a charging order is the exclusive remedy by which a judgment creditor of a partner or of a partner’s transferee may satisfy a judgment out of the judgment debtor’s economic interest in the partnership and attachment, garnishment, foreclosure or other legal or equitable remedies are not available to the judgment creditor.

(e) No creditor of a partner or of a partner’s transferee shall have any right to obtain possession of, or otherwise exercise legal or equitable remedies with respect to, the property of the partnership.

(f) The Court of Chancery shall have jurisdiction to hear and determine any matter relating to any such charging order.

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