Question

Liability of Limited Partners Union Station As-sociates of New London ( USANL) was a limited part-nership formed under the laws of Connecticut. Allen M. Schultz, Anderson Nolter Associates, and the Lepton Trust were limited partners. The limited partners did not take part in the management of the partnership. The National Railroad Passenger Association ( NRPA) entered into an agreement to lease part of a railroad facility from USANL. NRPA sued USANL for allegedly breaching the lease and also named the limited partners as defendants. Are the limited partners liable?

Answer 1

Answer:

The limited partners are not liable for breaching the lease agreement.

Explanation:

Therefore, the Lepton Trust should not be named as defendants because they are limited partners.  According to the D.C.Code § 41-207, limited partners cannot only become liable like other general partners when they are involved in the management of the partnership.  The facts of this case stated clearly that they "did not take part in the partnership's management."  This categorically proves that the Lepton Trust are not proper defendants in the case.