Chapter 805 - Business Organizations - Revised Uniform Limited Partnership Act.

(805 ILCS 210/Art. 7 heading)
(Article scheduled to be repealed on January 1, 2008)

ARTICLE 7

Assignment of Partnership Interests

(Source: P.A. 93-967, eff. 1-1-05. Repealed on 1-1-2008 by 805 ILCS 215/1401.)

    (805 ILCS 210/701) (from Ch. 106 1/2, par. 157-1)
    (Section scheduled to be repealed on January 1, 2008)
    Sec. 701. Nature of Partnership Interest. A partnership interest is personal property.
(Source: P.A. 84-1412; 93-967, eff. 1-1-05. Repealed on 1-1-2008 by 805 ILCS 215/1401.)

    (805 ILCS 210/702) (from Ch. 106 1/2, par. 157-2)
    (Section scheduled to be repealed on January 1, 2008)
    Sec. 702. Assignment of a Partnership Interest.
    (a) Except as provided in the partnership agreement:
        (1) a partnership interest is assignable in whole or

in part;

(2) an assignment of a partnership interest does not

dissolve a limited partnership or entitle the assignee to become a partner or to exercise any rights or powers of a partner;

(3) an assignment of a partnership interest entitles

the assignee to share in such profits and losses, to receive such distribution or distributions, and to receive such allocation of income, gain, loss, deduction, or credit or similar item to which the assignor was entitled, to the extent assigned; and

(4) a partner ceases to be a partner and to have the

power to exercise any rights or powers of a partner upon the assignment of all of his or her partnership interest. Unless otherwise provided in a partnership agreement, the pledge of, or granting of a security interest, lien, or other encumbrance in or against, any or all of the partnership interest of a partner shall not cause the partner to cease to be a partner or to have the power to exercise any rights or powers of a partner.

    (b) The partnership agreement may provide that a partner's interest in a limited partnership may be evidenced by a certificate of partnership interest issued by the limited partnership and may also provide for the assignment or transfer of any partnership interest represented by such a certificate and make other provisions with respect to such certificates.
    (c) Unless otherwise provided in a partnership agreement and except to the extent assumed by agreement, until an assignee of a partnership interest becomes a partner, the assignee shall have no liability as a partner solely as a result of the assignment.
    (d) Unless otherwise provided in the partnership agreement, a limited partnership may acquire, by purchase, redemption, or otherwise, any partnership interest or other interest of a partner in the limited partnership. Unless otherwise provided in the partnership agreement, any such interest so acquired by the limited partnership shall be deemed canceled.
(Source: P.A. 91-762, eff. 1-1-01; 93-967, eff. 1-1-05. Repealed on 1-1-2008 by 805 ILCS 215/1401.)

    (805 ILCS 210/703) (from Ch. 106 1/2, par. 157-3)
    (Section scheduled to be repealed on January 1, 2008)
    Sec. 703. Rights of Creditor. On application to a court of competent jurisdiction by any judgment creditor of a partner, the court may charge the partnership interest of the partner with payment of the unsatisfied amount of the judgment with interest. To the extent so charged, the judgment creditor has only the rights of an assignee of the partnership interest to receive distributions. This Act does not deprive any partner of the benefit of any exemption laws applicable to his or her partnership interest.
(Source: P.A. 84-1412; 93-967, eff. 1-1-05. Repealed on 1-1-2008 by 805 ILCS 215/1401.)

    (805 ILCS 210/704) (from Ch. 106 1/2, par. 157-4)
    (Section scheduled to be repealed on January 1, 2008)
    Sec. 704. Rights of Assignee.
    (a) An assignee of a partnership interest, including an assignee of a general partner, who has become a limited partner has, and an assignee who is entitled to exercise the rights of a limited partner pursuant to the partnership agreement has, to the extent assigned, the rights and powers, and is subject to the restrictions and liabilities, of a limited partner under the partnership agreement and this Act. An assignee who is entitled to exercise the rights of a partner pursuant to the partnership agreement or who becomes a limited partner also is liable for the obligations of his assignor to make and return contributions as provided in Articles 5 and 6. However, the assignee is not obligated for liabilities unknown to the assignee at the time of the effectiveness of the assignment.
    (b) If an assignee of a partnership interest becomes a limited partner, the assignor is not released from his or her liability to the limited partnership under Sections 207, 502 and 608.
(Source: P.A. 84-1412; 93-967, eff. 1-1-05. Repealed on 1-1-2008 by 805 ILCS 215/1401.)

    (805 ILCS 210/705) (from Ch. 106 1/2, par. 157-5)
    (Section scheduled to be repealed on January 1, 2008)
    Sec. 705. Power of Estate of Deceased or Incompetent Partner. If a partner who is an individual dies or a court of competent jurisdiction adjudges him or her to be incompetent to manage his or her person or his or her property, the partner's executor, administrator, guardian, conservator, or other legal representative may exercise all the partner's rights for the purpose of settling his or her estate or administering his or her property, including any power the partner had to give an assignee the right to become a limited partner. If a partner is a corporation, trust, or other entity and is dissolved or terminated, the powers of that partner may be exercised by its legal representative or successor.
(Source: P.A. 84-1412; 93-967, eff. 1-1-05. Repealed on 1-1-2008 by 805 ILCS 215/1401.)