Retirement

Retiring from a partnership can be voluntary or forced – either way, we’re here to support you.

Retirement is the process of leaving a partnership. It can be a voluntary and amicable process, however, in some cases it can be one which is forced or contested. There are separate rules to consider where a partner or a member dies, goes insolvent or (in the case of a company) is dissolved.

A partner may leave a general partnership by:

• Retiring, if all the other partners agree or in line with the terms of a partnership agreement.
• Being forced to retire if, for example, there are specific provisions in a partnership agreement relating to this.

A ‘member’ of a Limited Liability Partnership (LLP) may leave:

• As agreed with the other LLP members.
• By giving reasonable notice to the other LLP members.
• By being forced to leave the LLP in line with the terms of an agreement between the members.

Retiring from a partnership may bring unforeseen consequences, such as a general partnership being dissolved. The resulting position, both in terms of the right to leave and the effects of that, will depend on the general law involved and the terms of any written agreement between the partners.

No matter who you are, the partner who is leaving or one of the continuing partners who wishes to carry on with the partnership’s business, getting the right advice, at the right time, is key to success. We provide the specialist advice you need to handle matters relating to retiring from partnerships sensitively and achieve the right result.