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The Vermont Statutes Online
Title
11
:
Corporations, Partnerships and Associations
Chapter
022
:
PARTNERSHIPS
Subchapter
008
:
WINDING UP PARTNERSHIP BUSINESS
§
3271. Events causing dissolution and winding up of partnership business
A partnership is
dissolved, and its business must be wound up, only upon the occurrence of any
of the following events:
(1) in a
partnership at will, the partnership's having notice from a partner, other than
a partner who is dissociated under subdivisions 3251(2) through (10) of this
title, of that partner's express will to withdraw as a partner, or on a later
date specified by the partner;
(2) in a
partnership for a definite term or particular undertaking:
(A) the
expiration of 90 days after a partner's dissociation by death or otherwise
under subdivisions 3251(6) through (10) of this title or wrongful dissociation
under subsection 3252(b) of this title, unless before that time a majority in
interest of the remaining partners, including partners who have rightfully
dissociated pursuant to subdivision 3252(b)(2)(A) of this title, agree to
continue the partnership;
(B) the express
will of all of the partners to wind up the partnership business; or
(C) the
expiration of the term or the completion of the undertaking;
(3) an event
agreed to in the partnership agreement resulting in the winding up of the
partnership business;
(4) an event
that makes it unlawful for all or substantially all of the business of the
partnership to be continued, but a cure of illegality within 90 days after
notice to the partnership of the event is effective retroactively to the date
of the event for purposes of this section;
(5) on
application by a partner, a judicial determination that:
(A) the economic
purpose of the partnership is likely to be unreasonably frustrated;
(B) another
partner has engaged in conduct relating to the partnership business which makes
it not reasonably practicable to carry on the business in partnership with that
partner; or
(C) it is not
otherwise reasonably practicable to carry on the partnership business in
conformity with the partnership agreement; or
(6) on
application by a transferee of a partner's transferable interest, a judicial
determination that it is equitable to wind up the partnership business:
(A) after the
expiration of the term or completion of the undertaking, if the partnership was
for a definite term or particular undertaking at the time of the transfer or
entry of the charging order that gave rise to the transfer; or
(B) at any time,
if the partnership was a partnership at will at the time of the transfer or
entry of the charging order that gave rise to the transfer. (Added 1997, No.
149 (Adj. Sess.), § 1, eff. Jan. 1, 1999.)