People coming and going is part of any business lifecycle. But when it comes to partnerships, there are special legal circumstances. If a partner leaves, it’s best to consult with a business law attorney—depending on the type of partnership you have, there are several outcomes that require legal assistance. Lawyers at Zangari Cohn Cuthbertson Duhl & Grello P.C. have handled business law disputes in New Haven, CT, since 1946, and they can guide you through the process to ensure your partnership isn’t dissolved.

A registered business partnership is when two or more people own and operate a business together. They can be either a general or limited partnerships, and each comes with specific rules about exiting.

In a general partnership, a partner leaving means the partnership is dissolved. Each partner will have to divide debts and assets amongst each other, and will be responsible for handling them. However, if a buy-sell agreement is made when the company is first formed, remaining partners have the option to purchase ownership rights from the exiting partner. Examine your initial paperwork carefully, as it may be sufficient to keep your partnership operational.

Limited partnerships come with more flexibility. If a partner chooses to exit, the partnership is allowed to continue. However, according to business law, the partner leaving has to leave on terms established when the partnership was formed, which varies from business to business. In some cases, however, the consensus may be to simply dissolve the partnership. A business law attorney can help, as business licenses, paperwork, and many other company details will need to be closed in order to finalize the process.

It’s important to understand each option to ensure a smooth transition and positive outcome when a partner leaves. The legal team at Zangari Cohn Cuthbertson Duhl & Grello P.C. is dedicated to helping you achieve your business goals. They will work on a personal level to ensure a smooth transition. Call (203) 789-0001 today to speak to a lawyer if a partner is leaving, and visit their website and Facebook page to learn more about their services.