2007 Minnesota Statutes

323A.0504 PARTNER'S TRANSFERABLE INTEREST SUBJECT TO CHARGING
ORDER.
(a) On application by a judgment creditor of a partner or of a partner's transferee, a court
having jurisdiction may charge the transferable interest of the judgment debtor to satisfy the
judgment. The court may appoint a receiver of the share of the distributions due or to become
due to the judgment debtor in respect of the partnership and make all other orders, directions,
accounts, and inquiries the judgment debtor might have made or which the circumstances of
the case may require.
(b) A charging order constitutes a lien on the judgment debtor's transferable interest in the
partnership. The court may order a foreclosure of the interest subject to the charging order at any
time. The purchaser at the foreclosure sale has the rights of a transferee.
(c) At any time before foreclosure, an interest charged may be redeemed:
(1) by the judgment debtor;
(2) with property other than partnership property, by one or more of the other partners; or
(3) with partnership property, by one or more of the other partners with the consent of all of
the partners whose interests are not so charged.
(d) This chapter does not deprive a partner of a right under exemption laws with respect to
the partner's interest in the partnership.
(e) This section provides the exclusive remedy by which a judgment creditor of a partner or
partner's transferee may satisfy a judgment out of the judgment debtor's transferable interest in
the partnership.
History: 1997 c 174 art 5 s 29