Sec. 1206. Application to existing relationships.

412 words·~2 min read·/il/chapter-805/act-215/1206

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

(a)Before January 1, 2008, this Act governs only:

(1)a limited partnership formed on or after January 1, 2005; and

(2)except as otherwise provided in subsections

(c)and (d), a limited partnership

formed before January 1, 2005 which elects, in the manner provided in its partnership agreement or by law for amending the partnership agreement, to be subject to this Act.

(b)Except as otherwise provided in subsection (c), on and after January 1, 2008 this Act governs all limited partnerships.

(c)With respect to a limited partnership formed before January 1, 2005, the following rules apply except as the partners otherwise elect in the manner provided in the partnership agreement or by law for amending the partnership agreement:

(1)Section 104(c) does not apply and the limited partnership has whatever duration it

had under the law applicable immediately before January 1, 2005.

(2)Section 108(d) does not apply.

(3)The limited partnership is not required to amend its certificate of limited

partnership to comply with Section 201(a)(4).

(4)Sections 601 and 602 do not apply and a limited partner has the same right and power

to dissociate from the limited partnership, with the same consequences, as existed immediately before January 1, 2005.

(5)Section 603(4) does not apply.

(6)Section 603(5) does not apply and a court has the same power to expel a general

partner as the court had immediately before January 1, 2005.

(7)Section 801(3) does not apply and the connection between a person's dissociation as

a general partner and the dissolution of the limited partnership is the same as existed immediately before January 1, 2005.

(d)With respect to a limited partnership that elects pursuant to subsection (a)(2) to be subject to this Act, after the election takes effect the provisions of this Act relating to the liability of the limited partnership's general partners to third parties apply:

(1)before January 1, 2008, to:

(A)a third party that had not done business with the limited partnership in the

year before the election took effect; and

(B)a third party that had done business with the limited partnership in the year

before the election took effect only if the third party knows or has received a notification of the election; and

(2)on and after January 1, 2008, to all third parties, but those provisions remain

inapplicable to any obligation incurred while those provisions were inapplicable under paragraph (1)(B).