Key Terms
To make things a little easier to understand here are some things you may need to know:
- Partnership Agreements: A written agreement between two or more individuals who join as partners to form and carry on a for-profit business. This agreement contains the nature of the business, capital contributed by each partner, and their rights and responsibilities.
- Articles of Partnership: The internal 'rule-book' of a limited partnership.
- Uniform Partnership Act (UPA): A proposed state law drafted by the National Conference of Commissioners on Uniform State Laws (NCCUSL) regarding the governance of business partnerships residing in any state within the United States. The UPA also offers regulations governing the dissolution of a partnership when a partner dissociates. The Uniform Partnership Act provides that a majority interest of the remaining partners can agree to continue the partnership within 90 days of the dissociation. In addition, the UPA provides rules regarding partnership formation, fiduciary duties and the ownership of partnership assets. The initial Uniform Partnership Act was adopted in every state except Louisiana.