Monday, 21 April 2014

Does a judgment against a partnership attach to the general partner's real property?

Question

Does a judgment against a partnership attach to the general partner's real property?



Answer

The answer seems to lie in Corporations Code section 16307(c), which reads:

"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."

I would recommend that you or your lawyer review all of 16307, as well as other language in the Revised Uniform Partnership Act, before deciding what property is safe, and what is not, from attempts to collect the judgment.



Answer

All partners are jointly liable for the judgments against the partnership as long as they were named as defendant in the case.



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