Section 362.1-801 - Events causing dissolution and winding up of partnership businessA partnership is dissolved, and its business shall be wound up, only upon the occurrence of any of the following events:
(1) In a partnership at will, the partnership's having notice from a partner, other than a partner who is dissociated under KRS 362.1-601(2) to (10), of that partner's express will to withdraw as a partner, or on a later date specified by the partner;(2) In a partnership for a definite term or particular undertaking: (a) Within ninety (90) days after a partner's dissociation by death or otherwise under KRS 362.1-601(6) to (10) or wrongful dissociation under KRS 362.1-602(2), the express will of at least half of the remaining partners to wind up the partnership business, for which purpose a partner's rightful dissociation pursuant to KRS 362.1-602(2)(b) 1. constitutes the expression of that partner's will to wind up the partnership business;(b) The express will of all of the partners to wind up the partnership business; or(c) The expiration of the term or the completion of the undertaking;(3) An event agreed to in the partnership agreement resulting in the winding up of the partnership business;(4) An event that makes it unlawful for all or substantially all of the business of the partnership to be continued, but a cure of illegality within ninety (90) days after notice to the partnership of the event is effective retroactively to the date of the event for purposes of this section;(5) On application by a partner, a judicial determination that:(a) The economic purpose of the partnership is likely to be unreasonably frustrated;(b) Another partner has engaged in conduct relating to the partnership business which makes it not reasonably practicable to carry on the business in partnership with that partner; or(c) It is not otherwise reasonably practicable to carry on the partnership business in conformity with the partnership agreement; or(6) On application by a transferee of a partner's transferable interest, a judicial determination that it is equitable to wind up the partnership business:(a) After the expiration of the term or completion of the undertaking, if the partnership was for a definite term or particular undertaking at the time of the transfer or entry of the charging order that gave rise to the transfer; or(b) At any time, if the partnership was a partnership at will at the time of the transfer or entry of the charging order that gave rise to the transfer.Effective:7/12/2006
Created 2006, Ky. Acts ch. 149, sec. 54, effective7/12/2006.