HRS §425-132
What happens when a partner leaves the partnership
When a partner leaves, their right to manage the business ends, and some duties end while others continue for past matters. If the partnership is ending, different rules apply. This section explains which rules apply and what duties remain.
The statute, as written — Effect of partner's dissociation
(a) If a partner's dissociation results in a dissolution and winding up of the partnership business, sections 425-138 to 425-144 apply; otherwise, sections 425-133 to 425-137 apply. (b) Upon a partner's dissociation: (1) The partner's right to participate in the management and conduct of the partnership business terminates, except as otherwise provided in section 425-140; (2) The partner's duty of loyalty under section 425-123(b)(3) terminates; and (3) The partner's duty of loyalty under section 425-123(b)(1) and (2) and duty of care under section 425-123(c) continue only with regard to matters arising and events occurring before the partner's dissociation, unless the partner participates in winding up the partnership's business pursuant to section 425-140.
Sections this one refers to
§425-123 Rules for how partners must behave
§425-133 Buying out a partner who leaves the partnership
§425-138 When a partnership must end and close its business
§425-140 Who can wrap up a partnership after it ends
LawTrove is not legal advice. The summary above is a computer-generated restatement — the authoritative text is the official version linked above.