Utah § 16-19-503 - Sharing of and right to distributions before dissolution. (Effective 10/1/2026)

Full text of Utah Utah Code § 16-19-503 — Sharing of and right to distributions before dissolution. (Effective 10/1/2026), with citation guidance and answers to common questions.

§ 16-19-503. Sharing of and right to distributions before dissolution. (Effective 10/1/2026)

Effective 10/1/2026
16-19-503.  Sharing of and right to distributions before dissolution.
(1)Except to the extent necessary to comply with a transfer effective under Section 16-19-702 or charging order in effect under Section 16-19-703, any distributions made by a limited partnership before the limited partnership's dissolution and winding up must be in equal shares among partners and persons dissociated as partners.
(2)A person has a right to a distribution before the dissolution and winding up of a limited partnership only if the limited partnership decides to make an interim distribution. A person's dissociation does not entitle the person to a distribution.
(3)
(a)A person does not have a right to demand or receive a distribution from a limited partnership in any form other than money.
(b)Except as otherwise provided in Subsection 16-19-811(5), a partnership may distribute an asset in kind only if each part of the asset is fungible with each other part and each person receives a percentage of the asset equal in value to the person's share of distributions.
(4)
(a)If a partner or transferee becomes entitled to receive a distribution, the partner or transferee has the status of, and is entitled to all remedies available to, a creditor of the limited partnership with respect to the distribution.
(b)However, the limited partnership's obligation to make a distribution is subject to offset for any amount owed to the limited partnership by the partner or a person dissociated as a partner on whose account the distribution is made.


Renumbered and Amended by Chapter 93, 2026 General Session

Source: official Utah text · Last verified 2026-08-27

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Frequently Asked Questions About Utah § 16-19-503

What does Utah Code § 16-19-503 cover?

Section 16-19-503 ("Sharing of and right to distributions before dissolution. (Effective 10/1/2026)") is part of the Utah Code, the codified statutory law of Utah. 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 Utah § 16-19-503?

A common citation format is "Utah Code § 16-19-503" (Utah). 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 Utah law?

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

How does Utah § 16-19-503 apply to my situation?

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