Tex. Bus. Orgs. Code § 152.206 · Subchapter D. RELATIONSHIP BETWEEN PARTNERS AND BETWEEN PARTNERS AND PARTNERSHIPS

PARTNER'S DUTY OF CARE.

Verbatim from the official edition

Text — Current through the 89th 2nd Called Legislative Session, 2025

(a) A partner's duty of care to the partnership and the other partners is to act in the conduct and winding up of the partnership business with the care an ordinarily prudent person would exercise in similar circumstances.

(b) An error in judgment does not by itself constitute a breach of the duty of care.

(c) A partner is presumed to satisfy the duty of care if the partner acts on an informed basis and in compliance with Section 152.204(b).

Notes and commentary — not statutory text

History

Acts 2003, 78th Leg., ch. 182, Sec. 1, eff. Jan. 1, 2006.

Source of truth

Edition: Current through the 89th 2nd Called Legislative Session, 2025
Official file: https://statutes.capitol.texas.gov/Docs/BO/htm/BO.152.htm
Text hash: sha256 21200964e462e570fbd7e3bf18bbb65a40832f9c859458d0019ea1df7e679536
Composed by: compose_tx.py 2026-10-05: the Legislative Council's chapter files read in document order; verify_tx.py's independent reading (lxml DOM walk) agrees character for character

This section cites

Provisions in this library that the text above cites, as it prints each citation. A range cited as “ss. 61.13-61.16” links its first and last provisions.

Business Organizations Code

Tex. Bus. Orgs. Code § 152.204GENERAL STANDARDS OF PARTNER'S CONDUCT.Printed as Section 152.204(b)

Cited by 3 provisions

Provisions in this library whose text cites Tex. Bus. Orgs. Code § 152.206. Each shows the citation as that text prints it.

Business Organizations Code

Procedural information only. Not legal advice and not a substitute for the advice of an attorney. Confirm the current text with the official publisher before relying on it.

Tex. Bus. Orgs. Code § 152.206 · Subchapter D. RELATIONSHIP BETWEEN PARTNERS AND BETWEEN PARTNERS AND PARTNERSHIPS

PARTNER'S DUTY OF CARE.

Verbatim from the official edition

Text — Current through the 89th 2nd Called Legislative Session, 2025

(b) An error in judgment does not by itself constitute a breach of the duty of care.

(c) A partner is presumed to satisfy the duty of care if the partner acts on an informed basis and in compliance with Section 152.204(b).

Notes and commentary — not statutory text

History

Acts 2003, 78th Leg., ch. 182, Sec. 1, eff. Jan. 1, 2006.

Source of truth

Edition: Current through the 89th 2nd Called Legislative Session, 2025
Official file: https://statutes.capitol.texas.gov/Docs/BO/htm/BO.152.htm
Text hash: sha256 21200964e462e570fbd7e3bf18bbb65a40832f9c859458d0019ea1df7e679536
Composed by: compose_tx.py 2026-10-05: the Legislative Council's chapter files read in document order; verify_tx.py's independent reading (lxml DOM walk) agrees character for character

This section cites

Provisions in this library that the text above cites, as it prints each citation. A range cited as “ss. 61.13-61.16” links its first and last provisions.

Business Organizations Code

Tex. Bus. Orgs. Code § 152.204GENERAL STANDARDS OF PARTNER'S CONDUCT.Printed as Section 152.204(b)

Cited by 3 provisions

Provisions in this library whose text cites Tex. Bus. Orgs. Code § 152.206. Each shows the citation as that text prints it.

Business Organizations Code

Procedural information only. Not legal advice and not a substitute for the advice of an attorney. Confirm the current text with the official publisher before relying on it.