State of Illinois
91st General Assembly
Legislation

   [ Search ]   [ Legislation ]
[ Home ]   [ Back ]   [ Bottom ]


[ Introduced ][ Enrolled ]

91_HB0478eng

 
HB0478 Engrossed                               LRB9102755SMcs

 1        AN ACT to amend the Revised Uniform  Limited  Partnership
 2    Act by changing Section 702.

 3        Be  it  enacted  by  the People of the State of Illinois,
 4    represented in the General Assembly:

 5        Section 5.  The Revised Uniform Limited  Partnership  Act
 6    is amended by changing Section 702 as follows:

 7        (805 ILCS 210/702) (from Ch. 106 1/2, par. 157-2)
 8        Sec. 702.  Assignment of a Partnership Interest.
 9        (a)  Except as provided in the partnership agreement:
10             (1),  a  partnership interest is assignable in whole
11        or in part;
12             (2). an assignment of a  partnership  interest  does
13        not  dissolve  a limited partnership or, unless otherwise
14        provided  in  the  partnership  agreement,  entitle   the
15        assignee to become a partner or to exercise any rights or
16        powers of a partner;
17             (3)  an   assignment   of   a  partnership  interest
18        entitles the  assignee  to  share  in  such  profits  and
19        losses,  to  receive  such distribution or distributions,
20        and to receive such  allocation of  income,  gain,  loss,
21        deduction,  or  credit  or  similar  item  to  which  the
22        assignor  was  entitled,  to  the  extent  assigned; and.
23        Except as provided in the partnership agreement,
24             (4)  a partner ceases to be a partner  and  to  have
25        the  power  to exercise any rights or powers of a partner
26        upon the assignment of all  of  his  or  her  partnership
27        interest.  Unless  otherwise  provided  in  a partnership
28        agreement, the pledge  of,  or  granting  of  a  security
29        interest,  lien,  or other encumbrance in or against, any
30        or all of the partnership interest of a partner shall not
31        cause the partner to cease to be a partner or to have the
 
HB0478 Engrossed            -2-                LRB9102755SMcs
 1        power to exercise any rights or powers of a partner.
 2        (b)  The  partnership  agreement  may  provide   that   a
 3    partner's  interest in a limited partnership may be evidenced
 4    by a  certificate  of  partnership  interest  issued  by  the
 5    limited  partnership  and may also provide for the assignment
 6    or transfer of any partnership interest represented by such a
 7    certificate and make other provisions with  respect  to  such
 8    certificates.
 9        (c)  Unless otherwise provided in a partnership agreement
10    and  except  to  the  extent  assumed  by agreement, until an
11    assignee of a partnership interest  becomes  a  partner,  the
12    assignee  shall  have  no  liability as a partner solely as a
13    result of the assignment.
14        (d)  Unless  otherwise  provided   in   the   partnership
15    agreement,  a  limited  partnership may acquire, by purchase,
16    redemption, or otherwise, any partnership interest  or  other
17    interest  of  a  partner  in  the limited partnership. Unless
18    otherwise provided in the  partnership  agreement,  any  such
19    interest  so  acquired  by  the  limited partnership shall be
20    deemed canceled.
21    (Source: P.A. 84-1412.)

[ Top ]