§ 8655. Liability for improper distributions.
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/pa/title-15/chapter-86/8655A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
§ 8655. Liability for improper distributions.
(a)General rule.-- If a general partner consents to a distribution made in violation of section 8654 (relating to limitations on distributions) and in consenting to the distribution fails to comply with section 8649 (relating to standards of conduct for general partners), the general partner is personally liable to the limited partnership for the amount of the distribution which exceeds the amount that could have been distributed without the violation of section 8654.
(b)Recipients.-- A person that receives a distribution knowing that the distribution violated section 8654 is personally liable to the limited partnership but only to the extent that the distribution received by the person exceeded the amount that could have been properly paid under section 8654.
(c)Contribution.-- A general partner against which an action is commenced because the general partner is liable under subsection
(a)may:
(1)join any other person that is liable under subsection
(a)or otherwise seek to enforce a right of contribution from the person; and
(2)join any person that received a distribution in violation of subsection
(b)or otherwise seek to enforce a right of contribution from the person in the amount the person received in violation of subsection (b).
(d)Statute of repose.-- An action under this section is barred unless commenced within two years after the distribution.
15c8661h
SUBCHAPTER F
DISSOCIATION
Sec.
8661. Dissociation as limited partner.
8662. Effects of dissociation as limited partner.
8663. Dissociation as general partner.
8664. Power to dissociate as general partner and wrongful dissociation.
8665. Effects of dissociation as general partner.
8666. Power to bind and liability of person dissociated as general partner.
8667. Liability of person dissociated as general partner to other persons.
15c8661s