Terms Used In Kansas Statutes 56a-603

  • Partnership: A voluntary contract between two or more persons to pool some or all of their assets into a business, with the agreement that there will be a proportional sharing of profits and losses.

(a) If a partner’s dissociation results in a dissolution and winding up of the partnership business, article 8 applies; otherwise, article 7 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 Kan. Stat. Ann. § 56a-803;

(2) the partner’s duty of loyalty under subsection (b)(3) of Kan. Stat. Ann. § 56a-404 terminates; and

(3) the partner’s duty of loyalty under subsection (b)(1) and (2) of Kan. Stat. Ann. §§ 56a-404 and duty of care under subsection (c) of Kan. Stat. Ann. § 56a-404 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 Kan. Stat. Ann. § 56a-803.