§ 15-603 — Effect of partner’s dissociation

(a) If a partner’s dissociation results in a dissolution and winding up of the partnership business, subchapter VIII of this chapter applies; otherwise, subchapter VII of this chapter applies.

(b) 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 § 15-803 of this title;

(2) the partner’s duty of loyalty under § 15-404(b)(3) of this title terminates; and

(3) the partner’s duty of loyalty under § 15-404(b)(1) and (2) of this title and duty of care under § 15-404(c) of this title 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 § 15-803 of this title.

Legislative History

72 Del. Laws, c. 151, § 1