Texas § 152.204 GENERAL STANDARDS OF PARTNER'S CONDUCT.

Texas Statutes

§ 152.204 — GENERAL STANDARDS OF PARTNER'S CONDUCT.

Texas § 152.204

Code BOBusiness Organizations Code

This text of Texas § 152.204 (GENERAL STANDARDS OF PARTNER'S CONDUCT.) is published on Counsel Stack Legal Research, covering Texas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook

Tex. Business Organizations Code Code Ann. § 152.204 (2026).

Text

Sec. 152.204. GENERAL STANDARDS OF PARTNER'S CONDUCT.

(a)A partner owes to the partnership, the other partners, and a transferee of a deceased partner's partnership interest as designated in Section 152.406 (a)(2):

(1)a duty of loyalty; and

(2)a duty of care.

(b)A partner shall discharge the partner's duties to the partnership and the other partners under this code or under the partnership agreement and exercise any rights and powers in the conduct or winding up of the partnership business:

(1)in good faith; and

(2)in a manner the partner reasonably believes to be in the best interest of the partnership.

(c)A partner does not violate a duty or obligation under this chapter or under the partnership agreement merely because the partner's conduct furthers the partner's own interest. (d

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Sec. 152.204. GENERAL STANDARDS OF PARTNER'S CONDUCT. (a) A partner owes to the partnership, the other partners, and a transferee of a deceased partner's partnership interest as designated in Section 152.406 (a)(2):
(1) a duty of loyalty; and
(2) a duty of care.
(b) A partner shall discharge the partner's duties to the partnership and the other partners under this code or under the partnership agreement and exercise any rights and powers in the conduct or winding up of the partnership business:
(1) in good faith; and
(2) in a manner the partner reasonably believes to be in the best interest of the partnership.
(c) A partner does not violate a duty or obligation under this chapter or under the partnership agreement merely because the partner's conduct furthers the partner's own interest.
(d) A partner, in the partner's capacity as partner, is not a trustee and is not held to the standards of a trustee.