178.0503 Transfer of transferable interest.
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/wi/chapter-178/178-0503-9A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
178.0503 Transfer of transferable interest.
(1)All of the following apply to a transfer, in whole or in part, of a transferable interest:
(a)It is permissible.
(b)It does not by itself cause a person’s dissociation as a partner or a dissolution and winding up of the partnership business.
(c)Subject to s. 178.0505 , it does not entitle the transferee to do any of the following:
1. Participate in the management or conduct of the partnership’s business.
2. Except as otherwise provided in sub.
(3), have access to records or other information concerning the partnership’s business.
(2)A transferee has the right to all of the following:
(a)To receive, in accordance with the transfer, distributions to which the transferor would otherwise be entitled.
(b)To seek under s. 178.0801
(5)a judicial determination that it is equitable to wind up the partnership business.
(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 dissolution.
(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 valid restriction on transfer contained in the partnership agreement is ineffective if the intended transferee has knowledge or notice of the restriction at the time of transfer.
(6)Except as otherwise provided in s. 178.0601
(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 the 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 partner’s obligations under ss. 178.0404 and 178.0407 known to the transferee when the transferee becomes a partner.