2006 Nebraska Revised Statutes - § 67-342 — Dissolution without liquidation; rights of retiring partner; rights of estate of deceased partner.

Section 67-342
Dissolution without liquidation; rights of retiring partner; rights of estate of deceased partner.

When any partner retires or dies, and the business is continued under any of the conditions set forth in paragraphs (1), (2), (3), (5) and (6) of section 67-341, or paragraph (2)(b) of section 67-338, without any settlement of accounts as between him or his estate and the person or partnership continuing the business, unless otherwise agreed, he or his legal representative as against such persons or partnership may have the value of his interest at the date of dissolution ascertained, and shall receive as an ordinary creditor an amount equal to the value of his interest in the dissolved partnership with interest, or, at his option or at the option of his legal representative, in lieu of interest, the profits attributable to the use of his right in the property of the dissolved partnership; PROVIDED, that the creditors of the dissolved partnership as against the separate creditors, or the representative of the retired or deceased partner, shall have priority on any claim arising under this section, as provided by paragraph (8) of section 67-341.

Source:

Laws 1943, c. 143, § 42, p. 504

Termination date January 1, 2001

Annotations:

Generally, in absence of agreement to the contrary, upon dissolution of a partnership by death of member, surviving partner may carry on the business without liability to account for good will of the firm and a method of valuation appropriate to sale of a going business is not applicable. Thorin v. Kurkowski, 192 Neb. 701, 224 N.W.2d 173 (1974).

~Reissue Revised Statutes of Nebraska