New Jersey § 42:1a-21

Full text of New Jersey New Jersey Statutes § 42:1a-21, with citation guidance and answers to common questions.

§ 42:1a-21.

a. Each partner is deemed to have an account that is: (1) credited with an amount equal to the money plus the value of any other property,

net of the amount of any liabilities, the partner contributes to the partnership and

the partner's share of the partnership profits; and (2) charged with an amount equal to the money plus the value of any other property,

net of the amount of any liabilities, distributed by the partnership to the partner

and the partner's share of the partnership losses. b. Each partner is entitled to an equal share of the partnership profits and is chargeable

with a share of the partnership losses in proportion to the partner's share of the

profits. c. A partnership shall reimburse a partner for payments made and indemnify a partner

for liabilities incurred by the partner in the ordinary course of the business of

the partnership or for the preservation of its business or property. d. A partnership shall reimburse a partner for an advance to the partnership beyond

the amount of capital the partner agreed to contribute. e. A payment or advance made by a partner which gives rise to a partnership obligation

under subsection c. or d. of this section constitutes a loan to the partnership which

accrues interest from the date of the payment or advance. f. Each partner has equal rights in the management and conduct of the partnership

business. g. A partner shall use or possess partnership property only on behalf of the partnership. h. A partner is not entitled to remuneration for services performed for the partnership,

except for reasonable compensation for services rendered in winding up the business

of the partnership. i. A person shall become a partner only with the consent of all of the partners. j. A difference arising as to a matter in the ordinary course of business of a partnership

shall be decided by a majority of the partners. An act outside the ordinary course of business of a partnership and an amendment

to the partnership agreement shall be undertaken only with the consent of all of the

partners. k. This section shall not affect the obligations of a partnership to other persons

under section 13 of this act. 1 1

N.J.S.A. § 42:1A-13.

Frequently Asked Questions About New Jersey § 42:1a-21

What does New Jersey Statutes § 42:1a-21 cover?

Section 42:1a-21 is part of the New Jersey Statutes, the codified statutory law of New Jersey. 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 New Jersey § 42:1a-21?

A common citation format is "New Jersey Statutes § 42:1a-21" (New Jersey). 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 New Jersey law?

No. This page is for research and education and may not include the most recent amendments. For official current law, check the New Jersey official source linked on this page or consult a licensed New Jersey attorney.

How does New Jersey § 42:1a-21 apply to my situation?

Statutes are interpreted in context, and application depends on your specific facts. Only a licensed attorney in New Jersey 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 New Jersey.