Asked by
Betsyy Ibanez
on Nov 30, 2024
Verified
A creditor of a limited partner may obtain a charging order against a partner's interest in the partnership, thereby obtaining the rights of an assignee of the partnership interest.
Charging Order
A legal order issued by a court directing the person or entity that owes money to a debtor to pay the debtor's creditor, effectively allowing the creditor to intercept funds or assets owed to the debtor.
Limited Partner
An investor in a partnership who is only liable for the amount of their investment and does not actively manage the business.
Partnership Interest
An ownership share in a partnership, representing a partner's stake in the business's assets and earnings.
- Understand the criteria for establishing, modifying, and dissolving a limited partnership, including the necessary paperwork.
- Ascertain the legal consequences of actions taken by a partnership on the liability of its members.
Verified Answer
NK
Learning Objectives
- Understand the criteria for establishing, modifying, and dissolving a limited partnership, including the necessary paperwork.
- Ascertain the legal consequences of actions taken by a partnership on the liability of its members.