<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-801 - Events causing dissolution and winding up of partnership business. </title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2069844Normal { margin-top: 0; margin-bottom: 0; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; margin-right: 0; } span.s2069844SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2069844CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2069844Normal-000000 { margin-top: 0; margin-bottom: 0; text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-left: 0; 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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="s2069844Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=48-7A-801"><span class="s2069844SENU">48-7A-801</span></a><span xml:space="preserve" class="s2069844SENU">. </span><span class="s2069844CL">Events causing dissolution and winding up of partnership business.</span></p><p dir="ltr" class="s2069844Normal-000000"><span class="s2069844DefaultParagraphFont">A partnership is dissolved, and its business must be wound up, only upon the occurrence of any of the following events:</span></p><p dir="ltr" class="s2069844Normal-000001"><span class="s2069844DefaultParagraphFont">(1)    In a partnership at will, the partnership's having notice from a partner, other than a partner who is dissociated under subsections 48</span><span class="s2069844DefaultParagraphFont-000002">-</span><span class="s2069844DefaultParagraphFont">7A</span><span class="s2069844DefaultParagraphFont-000002">-</span><span class="s2069844DefaultParagraphFont">601(2) to (10), inclusive, of that partner's express will to withdraw as a partner, or on a later date specified by the partner;</span></p><p dir="ltr" class="s2069844Normal-000001"><span class="s2069844DefaultParagraphFont">(2)    In a partnership for a definite term or particular undertaking:</span></p><p dir="ltr" class="s2069844Normal-000003"><span class="s2069844DefaultParagraphFont">(i)    Within ninety days after a partner's dissociation by death or otherwise under subsections 48</span><span class="s2069844DefaultParagraphFont-000002">-</span><span class="s2069844DefaultParagraphFont">7A</span><span class="s2069844DefaultParagraphFont-000002">-</span><span class="s2069844DefaultParagraphFont">601(6) to (10), inclusive, or wrongful dissociation under subsection 48</span><span class="s2069844DefaultParagraphFont-000002">-</span><span class="s2069844DefaultParagraphFont">7A</span><span class="s2069844DefaultParagraphFont-000002">-</span><span class="s2069844DefaultParagraphFont">602(b), the express will of at least half of the remaining partners to wind up the partnership business, for which purpose a partner's rightful dissociation pursuant to subsection 48</span><span class="s2069844DefaultParagraphFont-000002">-</span><span class="s2069844DefaultParagraphFont">7A</span><span class="s2069844DefaultParagraphFont-000002">-</span><span class="s2069844DefaultParagraphFont">602(b)(2)(i) constitutes the expression of that partner's will to wind up the partnership business;</span></p><p dir="ltr" class="s2069844Normal-000003"><span class="s2069844DefaultParagraphFont">(ii)    The express will of all of the partners to wind up the partnership business; or</span></p><p dir="ltr" class="s2069844Normal-000003"><span class="s2069844DefaultParagraphFont">(iii)    The expiration of the term or the completion of the undertaking;</span></p><p dir="ltr" class="s2069844Normal-000001"><span class="s2069844DefaultParagraphFont">(3)    An event agreed to in the partnership agreement resulting in the winding up of the partnership business;</span></p><p dir="ltr" class="s2069844Normal-000001"><span class="s2069844DefaultParagraphFont">(4)    An event that makes it unlawful for all or substantially all of the business of the partnership to be continued, but a cure of illegality within ninety days after notice to the partnership of the event is effective retroactively to the date of the event for purposes of this section;</span></p><p dir="ltr" class="s2069844Normal-000001"><span class="s2069844DefaultParagraphFont">(5)    On application by a partner, a judicial determination that:</span></p><p dir="ltr" class="s2069844Normal-000003"><span class="s2069844DefaultParagraphFont">(i)    The economic purpose of the partnership is likely to be unreasonably frustrated;</span></p><p dir="ltr" class="s2069844Normal-000003"><span class="s2069844DefaultParagraphFont">(ii)    Another partner has engaged in conduct relating to the partnership business which makes it not reasonably practicable to carry on the business in partnership with that partner; or</span></p><p dir="ltr" class="s2069844Normal-000003"><span class="s2069844DefaultParagraphFont">(iii)    It is not otherwise reasonably practicable to carry on the partnership business in conformity with the partnership agreement; or</span></p><p dir="ltr" class="s2069844Normal-000001"><span class="s2069844DefaultParagraphFont">(6)    On application by a transferee of a partner's transferable interest, a judicial determination that it is equitable to wind up the partnership business:</span></p><p dir="ltr" class="s2069844Normal-000003"><span class="s2069844DefaultParagraphFont">(i)    After the expiration of the term or completion of the undertaking, if the partnership was for a definite term or particular undertaking at the time of the transfer or entry of the charging order that gave rise to the transfer; or</span></p><p dir="ltr" class="s2069844Normal-000003"><span class="s2069844DefaultParagraphFont">(ii)    At any time, if the partnership was a partnership at will at the time of the transfer or entry of the charging order that gave rise to the transfer.</span></p><p dir="ltr" class="s2069844Normal"><span xml:space="preserve" class="s2069844000004"> </span></p><p dir="ltr" class="s2069844Normal"><span class="s2069844SCL">Source:</span><span xml:space="preserve" class="s2069844SCL-000005"> SL 2001, ch 249, § 801.</span></p></div></body></html>