§425-132  Effect of partner's dissociation. (a)  If a partner's dissociation results in a dissolution and winding up of thepartnership business, sections 425-138 to 425-144 apply; otherwise, sections425-133 to 425-137 apply.

(b)  Upon a partner's dissociation:

(1)  The partner's right to participate in themanagement and conduct of the partnership business terminates, except asotherwise provided in section 425-140;

(2)  The partner's duty of loyalty under section425-123(b)(3) terminates; and

(3)  The partner's duty of loyalty under section425-123(b)(1) and (2) and duty of care under section 425-123(c) continue onlywith regard to matters arising and events occurring before the partner'sdissociation, unless the partner participates in winding up the partnership'sbusiness pursuant to section 425-140. [L 1999, c 284, pt of §1]