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Idaho Code § 30-23-503

Transfer of transferable interest

Known as the Idaho Uniform Partnership Act

The act spans §§ 30–30 (63 sections).

I.C., § 30-23 -503, as added by 2015, ch. 243, § 27, p. 758.

(1) A transfer, in whole or in part, of a transferable interest: Is permissible, except the transfer of a transferable interest in a professional entity is not permissible without compliance with section 30-21-901(i), Idaho Code;

(2) Does not by itself cause a partner’s dissociation or a dissolution and winding up of the partnership business; and

(3) Subject to section 30-23-505, Idaho Code, does not entitle the transferee to: Participate in the management or conduct of the partnership’s business; or

(4) Except as otherwise provided in subsection (c) of this section, have access to records or other information concerning the partnership’s business.

(5) A transferee has the right to: Receive, in accordance with the transfer, distributions to which the transferor would otherwise be entitled; and

(6) Seek under section 30-23-801(5), Idaho Code, a judicial determination that it is equitable to wind up the partnership business.

(7) In a dissolution and winding up of a partnership, a transferee is entitled to an account of the partnership’s transactions only from the date of dissolution.

(8) A partnership need not give effect to a transferee’s rights under this section until the partnership knows or has notice of the transfer.

(9) A transfer of a transferable interest in violation of a restriction on transfer contained in the partnership agreement is ineffective as to a person having knowledge or notice of the restriction at the time of transfer.

(10) Except as otherwise provided in section 30-23-601(4)(B), Idaho Code, if a partner transfers a transferable interest, the transferor retains the rights of a partner other than the transferable interest transferred and retains all the duties and obligations of a partner.

(11) If a partner transfers a transferable interest to a person that becomes a partner with respect to the transferred interest, the transferee is liable for the partner’s obligations under sections 30-23-404 and 30-23-407, Idaho Code, known to the transferee when the transferee becomes a partner.

Current official text: Idaho Statutes (Idaho Legislature). Digitized from the UniCourt Code Improvement Commission public-domain capture. Reproduced from public-domain Idaho statutes; confirm against the official source for the current text. Not legal advice.