Baine P. and Mildred C. Kerr - Page 11




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          management of the partnership except with the unanimous consent of          
          the partners.  However, the provision further states that the terms         
          of article VIII shall apply to an assignee as if he were a                  
          substituted partner.                                                        
               Section 9.02 states that no limited partner shall have the             
          right to withdraw from the partnerships before the partnerships             
          dissolve and liquidate.  However, class B limited partners have a           
          “put right”; i.e., the right to require the partnership to purchase         
          part or all of a class B limited partnership interest at “fair              
          market value” as defined in section 8.12. The latter section                
          defines fair market value under the so-called willing buyer/willing         
          seller standard, with the caveat that the hypothetical willing              
          buyer of the limited partnership interest will have no withdrawal           
          or put rights.                                                              
               Section 10.01 sets forth the liquidation provisions at the             
          center of the present controversy.  Section 10.01 states that the           
          partnerships will dissolve and liquidate on the earlier of (1)              
          December 31, 2043, (2) by agreement of all the partners, or (3) on          
          the occurrence of certain narrowly defined acts of dissolution.             
          Transfers to University of Texas                                            
               Petitioners donated approximately $750,000 to the university           
          of Texas (the university) between 1975 and 1999.   Between 1981 and         
          1983, petitioners donated $100,000 to the university to establish           








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