Renumbered 10/1/2026

332 words·~2 min read·/ut/title-48/chapter-1d/10-111

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

48-1d-603. Transfer of transferable interest.

(1)A transfer, in whole or in part, of a transferable interest:

(a)is permissible;

(b)does not by itself cause a person's dissociation or a dissolution and winding up of the partnership's activities and affairs; and

(c)subject to Section 48-1d-605 , does not entitle the transferee to:

(i)participate in the management or conduct of the partnership's activities and affairs; or

(ii)except as otherwise provided in Subsection

(3), have access to records or other information concerning the partnership's activities and affairs.

(2)A transferee has the right to:

(a)receive, in accordance with the transfer, distributions to which the transferor would otherwise be entitled; and

(b)seek under Subsection 48-1d-901(5) a judicial determination that it is equitable to wind up the partnership's activities and affairs.

(3)In a dissolution and winding up of a partnership, a transferee is entitled to an account of the partnership's transactions only from the date of the last account agreed to by the partners.

(4)A partnership need not give effect to a transferee's rights under this section until the partnership knows or has notice of the transfer.

(5)A transfer of a transferable interest in violation of a restriction on transfer contained in the partnership agreement is ineffective as to a person having knowledge or notice of the restriction at the time of transfer.

(6)Except as otherwise provided in Subsection 48-1d-701(4)(b) , if a partner transfers a transferable interest, the transferor retains the rights of a partner other than the transferable interest transferred and retains all duties and obligations of a partner.

(7)If a partner transfers a transferable interest to a person that becomes a partner with respect to the transferred interest, the transferee is liable for the transferor's obligations under Sections 48-1d-502 and 48-1d-505 known to the transferee when the transferee becomes a partner.

Renumbered and Amended by Chapter 93 , 2026 General Session

Enacted by Chapter 412 , 2013 General Session