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Code · Utah · Title 48 — Unincorporated Business Entity Act · Chapter 1D

Renumbered 10/1/2026

324 words·~1 min read·/ut/title-48/chapter-1d/10-100

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

Renumbered 10/1/2026
48-1d-404. Reimbursement, indemnification, advancement, and insurance.
(1)A partnership shall reimburse a partner for any payment made by the partner in the course of the partner's activities on behalf of the partnership, if the partner complied with Sections 48-1d-402 and 48-1d-405 in making the payment.
(2)A partnership shall indemnify and hold harmless a person with respect to any claim or demand against the person and any debt, obligation, or other liability incurred by the person by reason of the person's former or present capacity as a partner, if the claim, demand, debt, obligation, or other liability does not arise from the person's breach of Section 48-1d-402 , 48-1d-405 , or 48-1d-504 .
(3)In the ordinary course of its activities and affairs, a partnership may advance reasonable expenses, including attorney's fees and costs, incurred by a person in connection with a claim or demand against the person by reason of the person's former or present capacity as a partner, if the person promises to repay the partnership if the person ultimately is determined not to be entitled to be indemnified under Subsection
(2).
(4)A partnership may purchase and maintain insurance on behalf of a partner against liability asserted against or incurred by the partner in that capacity or arising from that status even if, under Subsection 48-1d-106(3)(g) , the partnership agreement could not eliminate or limit the person's liability to the partnership for the conduct giving rise to the liability.
(5)A partnership shall reimburse a partner for an advance to the partnership beyond the amount of capital the partner agreed to contribute.
(6)A payment or advance made by a partner which gives rise to a partnership obligation under Subsection
(1)or
(5)constitutes a loan to the partnership which accrues interest from the date of the payment or advance.
Renumbered and Amended by Chapter 93 , 2026 General Session
Enacted by Chapter 412 , 2013 General Session
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