{"data":{"id":"us-ky/krs-362.2-306","jurisdiction":"us-ky","citation":"KRS 362.2-306","heading":"Person erroneously believing self limited partner.","body":"(1) Except as otherwise provided in subsection (2) of this section, a person that makes\nan investment in a business enterprise and erroneously but in good faith believes\nthat the person has become a limited partner in the enterprise is not liable for the\nenterprise's obligations by reason of making the investment, receiving distributions\nfrom the enterprise, or exercising any rights of or appropriate to a limited partner if,\non ascertaining the mistake, the person:\n(a) Causes an appropriate certificate of limit ed partnership, amendment, or\nstatement of correction to be signed and delivered to the Secretary of State for\nfiling; or\n(b) Withdraws from future participation as an owner in the enterprise by signing\nand delivering to the Secretary of State for filing a  statement of withdrawal\nunder this section.\n(2) A person that makes an investment described in subsection (1) of this section is\nliable to the same extent as a general partner to any third party that enters into a\ntransaction with the enterprise, believin g in good faith that the person is a general\npartner, before the Secretary of State files a statement of withdrawal, certificate of\nlimited partnership, amendment, or statement of correction to show that the person\nis not a general partner.\n(3) If a person makes a diligent effort in good faith to comply with subsection (1)(a) of\nthis section and is unable to cause the appropriate certificate of limited partnership,\namendment, or statement of correction to be signed and delivered to the Secretary of\nState fo r filing, then the person has the right to withdraw from the enterprise\npursuant to subsection (1)(b) of this section even if otherwise the withdrawal would\nbreach an agreement with others that are or have agreed to become co-owners of the\nenterprise.","path":[],"source_url":"https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=34582","current_through":"Includes enactments through the 2026 Regular Session","vintage":"09/05/2026","retrieved_at":"2026-09-05T20:58:58Z","sha256":"0a2c7af15325dd83fca45c77102cfe570e986da5a4ae40f4e7d3d2cf53d0562f","source_id":"us-ky","stale":false,"prev":"us-ky/krs-362.2-305","next":"us-ky/krs-362.2-401"},"notice":"GroundRules: Original legal text. Not legal advice."}