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Section 55: Debt owed to partner

Limited Liability Partnerships Act · PART IX: APPLICATION OF THE INSOLVENCY ACT AND DISSOLUTION OF LIMITED LIABILITY PARTNERSHIP

consolidated text (as at 2017, amended since). juris shows the text as it was consolidated; it does not confirm that this is the law in force today.

55. Debt owed to partner (1) Any sum due to a partner of a limited liability partnership shall, in his capacity as a partner, not be a debt of the limited liability partnership payable to that partner where there is a competition between himself and any other creditor who is not a partner, provided that any such sum may be taken into account for the purpose of the final adjustment of the rights of the partners among themselves. (2) Subsection (1) shall not apply to any sum due to a partner as repayment of a loan made in good faith by him to the limited liability partnership. PART X – MISCELLANEOUS

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