359.391. Liability upon return of contribution--return received, when. - Missouri Statutes

Liability upon return of contribution--return received, when.

359.391. 1. If a partner has received the return of anypart of his contribution without violation of the partnershipagreement or this chapter, he is liable to the limitedpartnership for a period of one year thereafter for the amountof the returned contribution, but only to the extent necessaryto discharge the limited partnership's liabilities to creditorswho extended credit to the limited partnership during the periodthe contribution was held by the partnership.

2. If a partner has received the return of any part of hiscontribution in violation of the partnership agreement or thischapter, he is liable to the limited partnership for a period ofsix years thereafter for the amount of the contributionwrongfully returned.

3. A partner receives a return of his contribution to theextent that a distribution to him reduces his share of the fairvalue of the net assets of the limited partnership below thevalue (as set forth in the partnership records required to bekept pursuant to section 359.051) of his contribution which hasnot been distributed to him.

(L. 1985 H.B. 512 & 650, A.L. 1990 H.B. 1432)