§ 59-702. Assignment of partnership interest. - North Carolina Statutes

§59‑702.  Assignment of partnership interest.

Except as provided in thepartnership agreement, a partnership interest is assignable in whole or inpart. Subject to G.S. 59‑801(3) an assignment of a partnership interestdoes not dissolve a limited partnership or entitle the assignee to become or toexercise any rights of a partner. An assignment entitles the assignee toreceive, to the extent assigned, only the allocation and distribution to whichthe assignor would be entitled. Except as provided in the partnershipagreement, a partner ceases to be a partner and to have the power to exerciseany rights and powers of a partner upon assignment of all of the partner'spartnership interest. Except as provided in the partnership agreement, neitherthe pledge or granting of a security interest in any or all of the partnershipinterest of a partner nor the pledge or granting of a lien or other encumbranceagainst any or all of the partnership interest of a partner shall cause thepartner to cease to be a partner or cease to have the power to exercise anyrights or powers of a partner. (1985 (Reg. Sess., 1986), c.989, s. 2; 1987, c. 531, s. 7; 1999‑362, s. 31.)