The general partner (or managing partner) of a partnership is required by law to exercise good faith, loyalty, due care and candor in managing the partnership's affairs, and to act in the best interest of the partnership and the other partners. The general partner must abide by the terms of the partnership agreement. A general partner or managing partner who breaches these duties is accountable to the other partners or to the partnership. Chimicles & Tikellis LLP prosecutes many cases on behalf of limited partners alleging breaches of duty and breaches of partnership agreements by general or managing partners. Such breaches may take the form of (a) abusive management practices including self-dealing transactions and being paid excessive fees; (b) proposing unfair transactions, including a general partner's offer to purchase limited partners' units for unfair consideration; and (c) failing to timely liquidate partnerships when they are no longer economically feasible to operate for the benefit of the limited partners.

   Friday, July 04th, 2008