2006 Minnesota Statutes

321.0601 DISSOCIATION AS LIMITED PARTNER.
(a) A person does not have a right to dissociate as a limited partner before the termination
of the limited partnership.
(b) A person is dissociated from a limited partnership as a limited partner upon the
occurrence of any of the following events:
(1) the limited partnership's having notice of the person's express will to withdraw as a
limited partner or on a later date specified by the person;
(2) an event agreed to in the partnership agreement as causing the person's dissociation
as a limited partner;
(3) the person's expulsion as a limited partner pursuant to the partnership agreement;
(4) the person's expulsion as a limited partner by the unanimous consent of the other partners
if:
(A) it is unlawful to carry on the limited partnership's activities with the person as a limited
partner;
(B) there has been a transfer of all of the person's transferable interest in the limited
partnership, other than a transfer for security purposes, or a court order charging the person's
interest, which has not been foreclosed;
(C) the person is a corporation and, within 90 days after the limited partnership notifies the
person that it will be expelled as a limited partner because it has filed a certificate of dissolution or
the equivalent, its charter has been revoked, or its right to conduct business has been suspended
by the jurisdiction of its incorporation, there is no revocation of the certificate of dissolution or no
reinstatement of its charter or its right to conduct business; or
(D) the person is a limited liability company or partnership that has been dissolved and
whose business is being wound up;
(5) on application by the limited partnership, the person's expulsion as a limited partner
by judicial order because:
(A) the person engaged in wrongful conduct that adversely and materially affected the
limited partnership's activities;
(B) the person willfully or persistently committed a material breach of the partnership
agreement or of the obligation of good faith and fair dealing under section 321.0305(b); or
(C) the person engaged in conduct relating to the limited partnership's activities which makes
it not reasonably practicable to carry on the activities with the person as limited partner;
(6) in the case of a person who is an individual, the person's death;
(7) in the case of a person that is a trust or is acting as a limited partner by virtue of being a
trustee of a trust, distribution of the trust's entire transferable interest in the limited partnership,
but not merely by reason of the substitution of a successor trustee;
(8) in the case of a person that is an estate or is acting as a limited partner by virtue of being
a personal representative of an estate, distribution of the estate's entire transferable interest in
the limited partnership, but not merely by reason of the substitution of a successor personal
representative;
(9) termination of a limited partner that is not an individual, partnership, limited liability
company, corporation, trust, or estate;
(10) the limited partnership's participation in a conversion or merger under article 11, if the
limited partnership:
(A) is not the converted or surviving entity; or
(B) is the converted or surviving entity but, as a result of the conversion or merger, the
person ceases to be a limited partner.
History: 2004 c 199 art 6 s 52