{"data":{"id":"us-nm/54-1a-703","jurisdiction":"us-nm","citation":"54-1A-703","heading":"Dissociated partner's liability to other persons.","body":"(a) A partner's dissociation does not of itself discharge the partner's liability for a partnership obligation incurred before dissociation. A dissociated partner is not liable for a partnership obligation incurred after dissociation, except as otherwise provided in Subsection (b) of this section.\n(b) A partner who dissociates without resulting in a dissolution and winding up of the partnership business is liable as a partner to the other party in a transaction entered into by the partnership, or a surviving partnership under Article 9 of the Uniform Partnership Act (1994), within two years after the partner's dissociation, only if the partner is liable for the obligation under Section 54-1A-306 NMSA 1978 and at the time of entering into the transaction the other party:\n(1) reasonably believed that the dissociated partner was then a partner;\n(2) did not have notice of the partner's dissociation; and\n(3) is not deemed to have had knowledge under Section 54-1A-303(e) NMSA 1978 or notice under Section 54-1A-704(c) NMSA 1978.\n(c) By agreement with the partnership creditor and the partners continuing the business, a dissociated partner may be released from liability for a partnership obligation.\n(d) A dissociated partner is released from liability for a partnership obligation if a partnership creditor, with notice of the partner's dissociation but without the partner's consent, agrees to a material alteration in the nature or time of payment of a partnership obligation.","path":["Chapter 54 - Partnerships","ARTICLE 1A Uniform Partnerships"],"source_url":"https://nmonesource.com/nmos/nmsa-unanno/en/item/18557/index.do","current_through":"2022-05-12","vintage":"","retrieved_at":"2026-09-03T15:02:20Z","sha256":"698d3c9fa9d7c1f9f8a4fdb39b7c2a071c3dcce9e33a9d98fe2e858d7016c55b","source_id":"us-nm","stale":false,"prev":"us-nm/54-1a-702","next":"us-nm/54-1a-704"},"notice":"GroundRules: Original legal text. Not legal advice."}