Texas § 153.161 LIABILITY OF GENERAL PARTNER FOR DEBT INCURRED AFTER EVENT OF WITHDRAWAL.

Texas Statutes

§ 153.161 — LIABILITY OF GENERAL PARTNER FOR DEBT INCURRED AFTER EVENT OF WITHDRAWAL.

Texas § 153.161

Code BOBusiness Organizations Code

This text of Texas § 153.161 (LIABILITY OF GENERAL PARTNER FOR DEBT INCURRED AFTER EVENT OF WITHDRAWAL.) 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. § 153.161 (2026).

Text

Sec. 153.161. LIABILITY OF GENERAL PARTNER FOR DEBT INCURRED AFTER EVENT OF WITHDRAWAL.

(a)Unless otherwise provided by a written partnership agreement and subject to the liability created under Section 153.162 , a general partner who ceases to be a general partner under Section 153.155 is not personally liable in the partner's capacity as a general partner for partnership debt incurred after that partner ceases to be a general partner unless the applicable creditor at the time the debt was incurred reasonably believed that the partner remained a general partner.

(b)A creditor of the partnership has reason to believe that a partner remains a general partner if:

(1)the creditor had no knowledge or notice of the general partner's withdrawal and:

(A)was a creditor of the partnership at th

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Sec. 153.161. LIABILITY OF GENERAL PARTNER FOR DEBT INCURRED AFTER EVENT OF WITHDRAWAL. (a) Unless otherwise provided by a written partnership agreement and subject to the liability created under Section 153.162 , a general partner who ceases to be a general partner under Section 153.155 is not personally liable in the partner's capacity as a general partner for partnership debt incurred after that partner ceases to be a general partner unless the applicable creditor at the time the debt was incurred reasonably believed that the partner remained a general partner.
(b) A creditor of the partnership has reason to believe that a partner remains a general partner if:
(1) the creditor had no knowledge or notice of the general partner's withdrawal and:
(A) was a creditor of the partnership at the time of the general partner's withdrawal; or
(B) had extended credit to the partnership within two years before the date of withdrawal; or
(2) the creditor had known that the partner was a general partner in the partnership before the general partner's withdrawal and had no knowledge or notice of the withdrawal and the general partner's withdrawal had not been advertised in a newspaper of general circulation in each place at which the partnership business was regularly conducted.