§ 4-46-603 - Effect of partner's dissociation. - Arkansas Statutes

4-46-603. Effect of partner's dissociation.

(a) If a partner's dissociation results in a dissolution and winding up of the partnership business, 4-46-801 et seq. applies; otherwise, 4-46-701 et seq. applies.

(b) Upon a partner's dissociation:

(1) the partner's right to participate in the management and conduct of the partnership business terminates, except as otherwise provided in 4-46-803;

(2) the partner's duty of loyalty under 4-46-404(b)(3) terminates; and

(3) the partner's duty of loyalty under 4-46-404(b)(1) and (2) and duty of care under 4-46-404(c) continue only with regard to matters arising and events occurring before the partner's dissociation, unless the partner participates in winding up the partnership's business pursuant to 4-46-803.