Indiana § 23-4-1-39 Rights where partnership is dissolved for fraud or misrepresentation

Indiana Statutes

§ 23-4-1-39 — Rights where partnership is dissolved for fraud or misrepresentation

Indiana § 23-4-1-39

Title 23BUSINESS AND OTHER ASSOCIATIONS

Art. 4PARTNERSHIPS

Ch. 1Uniform Partnership Act

This text of Indiana § 23-4-1-39 (Rights where partnership is dissolved for fraud or misrepresentation) is published on Counsel Stack Legal Research, covering Indiana primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook

Ind. Code § 23-4-1-39 (2026).

Text

Where a partnership contract is rescinded on the ground of the fraud or misrepresentation of one of the parties thereto, the party entitled to rescind is, without prejudice to any other right,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,

(a)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 paid by him for the purchase of an interest in the partnership and for any capital or advances contributed by him; and

(b)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

(c)To be indemnified by the person guilty of the fraud or making the representation against all debts and liabi

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Where a partnership contract is rescinded on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,
(a) 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 paid by him for the purchase of an
interest in the partnership and for any capital or advances contributed
by him; and
(b) 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
(c) To be indemnified by the person guilty of the fraud or making
the representation against all debts and liabilities of the partnership.
Formerly: Acts 1949, c.114, s.39.