Code of Virginia
Chapter 2.2 - Virginia Uniform Partnership Act
§ 50-73.88. Formation of partnership

A. Except as otherwise provided in subsection B, the association of two or more persons to carry on as co-owners a business for profit forms a partnership, whether or not the persons intend to form a partnership.
B. An association formed under a statute other than this chapter, a predecessor statute, or a comparable statute of another jurisdiction is not a partnership under this chapter.
C. In determining whether a partnership is formed, the following rules apply:
1. Joint tenancy, tenancy in common, tenancy by the entireties, joint property, common property, or part ownership does not by itself establish a partnership, even if the co-owners share profits made by the use of the property.
2. The sharing of gross returns does not by itself establish a partnership, even if the persons sharing them have a joint or common right or interest in property from which the returns are derived.
3. A person who receives a share of the profits of a business is presumed to be a partner in the business, unless the profits were received in payment:
a. Of a debt by installments or otherwise;
b. For services as an independent contractor or of wages or other compensation to an employee;
c. Of rent;
d. Of an annuity or other retirement benefit to a beneficiary, representative, or designee of a deceased or retired partner;
e. Of interest or other charge on a loan, even if the amount of payment varies with the profits of the business, including a direct or indirect present or future ownership of the collateral, or rights to income, proceeds, or increase in value derived from the collateral; or
f. For the sale of the goodwill of a business or other property by installments or otherwise.
D. Each person to be admitted as a partner to a partnership formed under subsection A may be admitted as a partner and may receive a partnership interest in the partnership without making a contribution or being obligated to make a contribution to the partnership. Each person to be admitted as a partner to a partnership formed under subsection A may be admitted as a partner without acquiring a transferable interest in the partnership. Nothing contained in this subsection shall affect a partner's liability under § 50-73.96.
1996, c. 292; 2015, c. 616.

Structure Code of Virginia

Code of Virginia

Title 50 - Partnerships

Chapter 2.2 - Virginia Uniform Partnership Act

§ 50-73.79. Definitions

§ 50-73.80. Knowledge and notice

§ 50-73.81. Effect of partnership agreement; nonwaivable provisions

§ 50-73.82. Supplemental principles of law

§ 50-73.83. Execution, filing, and recording of statements; effective time and date; refunds; penalty

§ 50-73.84. Law governing internal relations

§ 50-73.85. Transactions between partner and partnership

§ 50-73.86. Partnership subject to amendment or repeal of chapter

§ 50-73.87. Partnership as entity

§ 50-73.88. Formation of partnership

§ 50-73.89. Partnership property

§ 50-73.90. When property is partnership property

§ 50-73.91. Partner agent of partnership

§ 50-73.92. Transfer of partnership property

§ 50-73.93. Statement of partnership authority

§ 50-73.94. Statement of denial

§ 50-73.95. Partnership liable for partner's actionable conduct

§ 50-73.96. Partner's liability

§ 50-73.97. Actions by and against partnership and partners

§ 50-73.98. Liability of purported partner

§ 50-73.99. Partner's rights and duties

§ 50-73.100. Distributions in kind

§ 50-73.101. Partner's rights and duties with respect to information

§ 50-73.102. General standards of partner's conduct

§ 50-73.103. Actions by partnership and partners

§ 50-73.104. Continuation of partnership beyond definite term or particular undertaking

§ 50-73.105. Partner not co-owner of partnership property

§ 50-73.106. Partner's transferable interest in partnership

§ 50-73.107. Transfer of partner's transferable interest

§ 50-73.108. Partner's transferable interest subject to charging order

§ 50-73.109. Events causing partner's dissociation

§ 50-73.110. Partner's power to dissociate; wrongful dissociation

§ 50-73.111. Effect of partner's dissociation

§ 50-73.112. Purchase of dissociated partner's interest

§ 50-73.113. Dissociated partner's power to bind partnership

§ 50-73.114. Dissociated partner's liability to other persons

§ 50-73.115. Statement of dissociation

§ 50-73.116. Continued use of partnership name

§ 50-73.117. Events causing dissolution and winding up of partnership business

§ 50-73.118. Partnership continues after dissolution

§ 50-73.119. Right to wind up partnership business

§ 50-73.120. Partner's power to bind partnership after dissolution

§ 50-73.121. Statement of dissolution

§ 50-73.122. Partner's liability to other partners after dissolution

§ 50-73.123. Settlement of accounts and contributions among partners

§ 50-73.124. Definitions

§ 50-73.125. Repealed

§ 50-73.126. Conversion of limited partnership to partnership

§ 50-73.127. Effect of conversion; entity unchanged

§ 50-73.128. Merger of partnerships

§ 50-73.129. Effect of merger

§ 50-73.130. Repealed

§ 50-73.131. Statement of merger

§ 50-73.132. Registered limited liability partnerships

§ 50-73.133. Name of registered limited liability partnership

§ 50-73.134. Registered limited liability partnership annual continuation reports; automatic cancellation of registration; restoration of status

§ 50-73.135. Registered office and registered agent

§ 50-73.136. Amendment of statement of registration; effect of statement of registration

§ 50-73.137. Cancellation of a registered limited liability partnership

§ 50-73.137:1. Effect of cancellation of limited partnership certificate or registration

§ 50-73.137:2. Known claims against dissolved registered limited liability partnership

§ 50-73.137:3. Other claims against dissolved registered limited liability partnership

§ 50-73.137:4. Court proceedings

§ 50-73.138. Registration of foreign registered limited liability partnerships

§ 50-73.139. Withdrawal of a foreign registered limited liability partnership

§ 50-73.140. Effect of failure of foreign registered limited liability partnership to register

§ 50-73.141. Applicability of chapter to foreign and interstate commerce

§ 50-73.142. Limited partnerships as registered limited liability partnerships

§ 50-73.143. Registration certificate required for registered limited liability partnership engaged in practice of law

§ 50-73.144. Application and construction

§ 50-73.145. Short title

§ 50-73.146. Repealed

§ 50-73.147. Applicability

§ 50-73.148. Transition

§ 50-73.149. Savings clause

§ 50-73.150. Property title records