§ 25.05.255. Dissociated partner's power to bind and liability to partnership
(1) For two years after a partner dissociates without resulting in a dissolution and winding up of the partnership business, the partnership, including a surviving partnership under article 9 of this chapter, is bound by an act of the dissociated partner which would have bound the partnership under RCW 25.05.100 before dissociation only if at the time of entering into the transaction the other party:
(a) Reasonably believed that the dissociated partner was then a partner;
(b) Did not have notice of the partner's dissociation; and
(c) Is not deemed to have had knowledge under RCW 25.05.110(3) or notice under RCW 25.05.265(3).
(2) A dissociated partner is liable to the partnership for any damage caused to the partnership arising from an obligation incurred by the dissociated partner after dissociation for which the partnership is liable under subsection (1) of this section.
[1998 c 103 § 702.]
Sections: Previous 25.05.205 25.05.210 25.05.215 25.05.225 25.05.230 25.05.235 25.05.250 25.05.255 25.05.260 25.05.265 25.05.270 25.05.300 25.05.305 25.05.310 25.05.315 NextLast modified: April 7, 2009