Kentucky Revised Statutes

Ky. Rev. Stat. § 362.225 (2026)

Partner by estoppel

✓ current as of May 2026

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(1) When a person, by words spoken or written or by conduct, represents himself, or consents to another representing him to anyone, as a partner in an existing partnership or with one or more persons not actual partners, he is liable to any such person to whom such representation has been made, who has, on the faith of such representation given credit to the actual or apparent partnership, and if he has made such representation or consented to its being made in a public manner he is liable to such person, whether the representation has or has not been made or communicated to such person so giving credit by or with the knowledge of the apparent partner making the representation or consenting to its being made:

(a) When a partnership liability results, he is liable as though he were an actual member of the partnership.

(b) When no partnership liability results, he is liable jointly with the other persons, if any, so consenting to the contract or representation as to incur liability, otherwise separately.

(2) When a person has been thus represented to be a partner in an existing partnership, or with one or more persons not actual partners, he is an agent of the persons consenting to such representation to bind them to the same extent and in the same manner as though he were a partner in fact, with respect to persons who rely upon the representation. Where all the members of the existing partnership consent to the representation, a partnership act or obligation results; but in all other cases it is the joint act or obligation of the person acting and the persons consenting to the representation. Effective: June 26, 2007 History: Repeal the prior repeal contained in 2006 Ky. Acts ch. 149, sec. 239, which was to have been effective January 1, 2008, 2007 Ky. Acts ch. 137, sec. 180, effective June 26, 2007. -- Repealed 2006 Ky. Acts ch. 149, sec. 239, effective January 1, 2008. -- Created 1954 Ky. Acts ch. 38, sec. 16, effective June 17, 1954.

Notes of Decisions

Cited in 3 cases (1 in the last 5 years), 2001–2025 · leading case: Roethke v. Sanger, 68 S.W.3d 352 (Ky. 2001).

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Roethke v. Sanger, 68 S.W.3d 352 (Ky. 2001). · cites it 23× “180 is entitled "Rules for determining the existence of a partnership" and provides in pertinent part: (1) Except as provided by KRS 362.225 [partner by estoppel] persons who are not partners as to each other are not partners as to third persons.”

Schlarman v. Johns (In Re Lewis), 461 B.R. 414 (Bankr. E.D. Ky. 2011). · cites it 2× “180: (1) Except as provided by KRS § 362.225 persons who are not partners as to each other are not partners as to third persons.”

Little Bent Farm, LLC v. W. Kentucky Univ. (Ky. Ct. App. 2025). “180 further instructs that: -18- [when] determining whether a partnership exists, these rules shall apply: (1) Except as provided by KRS 362.225 persons who are not partners as to each other are not partners as to third persons.”

— Ky. Rev. Stat. § 362.225(1) — 1 case

Roethke v. Sanger, 68 S.W.3d 352 (Ky. 2001). “180 is entitled "Rules for determining the existence of a partnership" and provides in pertinent part: (1) Except as provided by KRS 362.225 [partner by estoppel] persons who are not partners as to each other are not partners as to third persons.”

— Ky. Rev. Stat. § 362.225(2) — 1 case

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