Tex. Bus. Orgs. Code § 152.609 · Subchapter H. REDEMPTION OF WITHDRAWING PARTNER'S OR TRANSFEREE'S INTEREST
ACTION TO DETERMINE TERMS OF REDEMPTION.
Text — Current through the 89th 2nd Called Legislative Session, 2025
(a) A withdrawn partner or the partnership may maintain an action against the other party under Section 152.211 to determine:
(1) the terms of redemption of that partner's interest, including a contribution obligation or setoff under Section 152.603 or 152.604; or
(2) other terms of the redemption obligations of either party.
(b) The action must be commenced not later than the first anniversary of the later of:
(1) the date of delivery of information required by Section 152.607(c); or
(2) the date written notice is given under Section 152.607(d).
(c) The court shall determine the terms of the redemption of the withdrawn partner's interest, any contribution obligation or setoff due under Section 152.603 or 152.604, and accrued interest and shall enter judgment for an additional payment or refund.
(d) If deferred payment is authorized under Section 152.608, the court shall also determine the security for payment if requested to consider whether security is appropriate.
(e) If the court finds that a party failed to tender payment or make an offer to pay or to comply with the requirements of Section 152.607(c) or otherwise acted arbitrarily, vexatiously, or not in good faith, the court may assess damages against the party, including, if appropriate, in an amount the court finds equitable:
(1) a share of the profits of the continuing business;
(2) reasonable attorney's fees; and
(3) fees and expenses of appraisers or other experts for a party to the action.
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 13f4c3123a20f9c158e8f93545c2d541a15278ad13244fa435a0f962c5a88cb5
- 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 § 152.211REMEDIES OF PARTNERSHIP AND PARTNERS.Printed as Section 152.211
- Tex. Bus. Orgs. Code § 152.603CONTRIBUTION OBLIGATION.Printed as Section 152.603 or 152.604
- Tex. Bus. Orgs. Code § 152.604SETOFF FOR CERTAIN DAMAGES.Printed as Section 152.603 or 152.604
- Tex. Bus. Orgs. Code § 152.607DEMAND OR PAYMENT OF ESTIMATED REDEMPTION.Printed as Section 152.607(c) | Section 152.607(d)
- Tex. Bus. Orgs. Code § 152.608DEFERRED PAYMENT ON WRONGFUL WITHDRAWAL.Printed as Section 152.608
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.