Colorado § 7-62-608 - Liability upon return of contribution.
Full text of Colorado Colorado Revised Statutes § 7-62-608 — Liability upon return of contribution., with citation guidance and answers to common questions.
§ 7-62-608. Liability upon return of contribution.
(1) If a partner has received the return of any part of the partner's contribution without violation of the partnership agreement or this article, the partner is liable to the limited partnership for a period of one year thereafter for the amount of the returned contribution, but only to the extent necessary to discharge the limited partnership's liability to creditors who extended credit to the limited partnership during the period the contribution was held by the partnership.
(2) If a partner has received the return of any part of the partner's contribution in violation of the partnership agreement or this article, the partner is liable to the limited partnership for a period of three years thereafter for the amount of the contribution wrongfully returned.
(3) A partner receives a return of the partner's contribution to the extent that a distribution to the partner reduces the partner's share of the fair value of the net assets of the limited partnership below the value, as stated in the partnership records required to be kept pursuant to section 7-62-105, of the partner's contribution that has not been distributed to the partner.
Source: L. 81: Entire article added, p. 445, § 1, effective November 1. L. 86: (3) amended, p. 457, § 28, effective July 1. L. 2003: (3) amended, p. 2247, § 140, effective July 1, 2004. L. 2004: Entire section amended, p. 1445, § 140, effective July 1. L. 2007: (2) amended, p. 225, § 11, effective May 29.
Cross references: For exclusions from the term "distribution" see §§ 7-60-146 (1) and 7-64-1004 (1).
ANNOTATION
A partner need not have violated the act or the partnership agreement to be liable under this section and § 7-62-607. The only act necessary by the partner is the receipt of a return of contribution, such return exceeding that amount permitted by the partnership agreement. Sender v. C & R Co., 149 B.R. 941 (Bankr. D. Colo. 1992).
PART 7
ASSIGNMENT OF PARTNERSHIP INTERESTS
Source: official Colorado text · Last verified 2026-08-27
Frequently Asked Questions About Colorado § 7-62-608
What does Colorado Revised Statutes § 7-62-608 cover?
Section 7-62-608 ("Liability upon return of contribution.") is part of the Colorado Revised Statutes, the codified statutory law of Colorado. It sets out the legal rule or procedure described in the text above. Statutes are amended regularly, so always verify against the official source.
How do I cite Colorado § 7-62-608?
A common citation format is "Colorado Revised Statutes § 7-62-608" (Colorado). Legal writing may require the code abbreviation, section number, and year or edition. Match the style required by your court, professor, or publisher.
Is this the official text of Colorado law?
No. This page is for research and education and may not include the most recent amendments. For official current law, check the Colorado official source linked on this page or consult a licensed Colorado attorney.
How does Colorado § 7-62-608 apply to my situation?
Statutes are interpreted in context, and application depends on your specific facts. Only a licensed attorney in Colorado can advise on how this section applies to you. Contact your state or local bar association for a referral.
Sources & Verification
Not legal advice. Verify against the official source and consult a licensed attorney in Colorado.