<html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 48-7A-307 - Actions by and against partnership and partners. </title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2069823Normal { text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-top: 0; margin-left: 0; margin-right: 0; margin-bottom: .001pt; } span.s2069823SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2069823CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2069823Normal-000000 { text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-top: 0; margin-left: 0; margin-right: 0; margin-bottom: .001pt; } span.s2069823DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } p.s2069823Normal-000001 { text-indent: 0.25in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-top: 0; margin-left: 0; margin-right: 0; margin-bottom: .001pt; } span.s2069823DefaultParagraphFont-000002 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } p.s2069823Normal-000003 { margin-left: 0.70in; text-indent: -0.45in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-top: 0; margin-right: 0; margin-bottom: .001pt; } span.s2069823000004 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2069823SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2069823SCL-000005 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } body { text-decoration-skip-ink: none; } </style></head><body><div><p dir="ltr" class="s2069823Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=48-7A-307"><span class="s2069823SENU">48-7A-307</span></a><span xml:space="preserve" class="s2069823SENU">. </span><span class="s2069823CL">Actions by and against partnership and partners.</span></p><p dir="ltr" class="s2069823Normal-000000"><span class="s2069823DefaultParagraphFont">(a) A partnership may sue and be sued in the name of the partnership.</span></p><p dir="ltr" class="s2069823Normal-000001"><span class="s2069823DefaultParagraphFont">(b) An action may be brought against the partnership and, to the extent not inconsistent with § 48</span><span class="s2069823DefaultParagraphFont-000002">-</span><span class="s2069823DefaultParagraphFont">7A</span><span class="s2069823DefaultParagraphFont-000002">-</span><span class="s2069823DefaultParagraphFont">306, any or all of the partners in the same action or in separate actions.</span></p><p dir="ltr" class="s2069823Normal-000001"><span class="s2069823DefaultParagraphFont">(c) A judgment against a partnership is not by itself a judgment against a partner. A judgment against a partnership may not be satisfied from a partner's assets unless there is also a judgment against the partner.</span></p><p dir="ltr" class="s2069823Normal-000001"><span class="s2069823DefaultParagraphFont">(d) A judgment creditor of a partner may not levy execution against the assets of the partner to satisfy a judgment based on a claim against the partnership unless the partner is personally liable for the claim under § 48</span><span class="s2069823DefaultParagraphFont-000002">-</span><span class="s2069823DefaultParagraphFont">7A</span><span class="s2069823DefaultParagraphFont-000002">-</span><span class="s2069823DefaultParagraphFont">306 and:</span></p><p dir="ltr" class="s2069823Normal-000003"><span class="s2069823DefaultParagraphFont">(1)    A judgment based on the same claim has been obtained against the partnership and a writ of execution on the judgment has been returned unsatisfied in whole or in part;</span></p><p dir="ltr" class="s2069823Normal-000003"><span class="s2069823DefaultParagraphFont">(2)    The partnership is a debtor in bankruptcy;</span></p><p dir="ltr" class="s2069823Normal-000003"><span class="s2069823DefaultParagraphFont">(3)    The partner has agreed that the creditor need not exhaust partnership assets;</span></p><p dir="ltr" class="s2069823Normal-000003"><span class="s2069823DefaultParagraphFont">(4)    A court grants permission to the judgment creditor to levy execution against the assets of a partner based on a finding that partnership assets subject to execution are clearly insufficient to satisfy the judgment, that exhaustion of partnership assets is excessively burdensome, or that the grant of permission is an appropriate exercise of the court's equitable powers; or</span></p><p dir="ltr" class="s2069823Normal-000003"><span class="s2069823DefaultParagraphFont">(5)    Liability is imposed on the partner by law or contract independent of the existence of the partnership.</span></p><p dir="ltr" class="s2069823Normal-000001"><span class="s2069823DefaultParagraphFont">(e) This section applies to any partnership liability or obligation resulting from a representation by a partner or purported partner under § 48</span><span class="s2069823DefaultParagraphFont-000002">-</span><span class="s2069823DefaultParagraphFont">7A</span><span class="s2069823DefaultParagraphFont-000002">-</span><span class="s2069823DefaultParagraphFont">308.</span></p><p dir="ltr" class="s2069823Normal"><span xml:space="preserve" class="s2069823000004"> </span></p><p dir="ltr" class="s2069823Normal"><span class="s2069823SCL">Source:</span><span xml:space="preserve" class="s2069823SCL-000005"> SL 2001, ch 249, § 307.</span></p></div></body></html>