Joint and Several Liability and Partnership Law
By Janet Flaccus · October 15, 2003 · 2003 Ark. L. Notes
In categories: Archive
I am enjoying being editor since I get to add my short thoughts to some of the articles. After reading Rob Leflar’s article discussing the Civil Justice Reform Act and the elimination of joint and several liability, I began thinking about what this would do to the joint and several liability of partners. After discussing the topic briefly with Rob and Mary Beth Mathews, I offer these thoughts. Partnerships under the Uniform Partnership Act from 1914, that governs partnerships in existence before the effective date of the 1999 Act, will remain joint and severally liable because the partnership law says so. On January 1, 2005 these 1914 rules are repealed. For all these partnerships until January 1, 2005, they are under ARK CODE ANN. § 4-42-307 (2001) which makes all partners jointly and severally liable for everything charge able to the partnership. This is a more specific statute than the Civil Justice Reform Act and should control partnership liability. I should note that these partnerships can elect to be governed by the 1996 Act.