Sec. 152.306. ENFORCEMENT OF REMEDY. (a) A judgment against a partnership is not by itself a judgment against a partner. A judgment may be entered against a partner who has been served with process in a suit against the partnership.
(b) Except as provided by Subsection (c), a creditor may proceed against the property of one or more partners to satisfy a judgment based on a claim against the partnership only if a judgment:
(1) is obtained against the partner; and
(2) based on the same claim:
(A) is obtained against the partnership;
(B) has not been reversed or vacated; and
(C) remains unsatisfied for 90 days after:
(i) the date on which the judgment is entered; or
(ii) the date on which the stay expires, if the judgment is contested by appropriate proceedings and execution on the judgment is stayed.
(c) Subsection (b)(2) does not prohibit a creditor from proceeding directly against the property of one or more partners if:
(1) the partnership is a debtor in bankruptcy;
(2) the creditor and the partner or partners whose property is the subject of the proceeding brought by the creditor agreed that the creditor is not required to comply with Subsection (b)(2);
(3) a court orders otherwise, based on a finding that partnership property subject to execution in the state is clearly insufficient to satisfy the judgment or that compliance with Subsection (b)(2) is excessively burdensome; or
(4) liability is imposed on the partner by law or contract independently of the person's status as a partner.
(d) This section does not limit the effect of Section 152.801 with respect to a limited liability partnership.
Acts 2003, 78th Leg., ch. 182, Sec. 1, eff. Jan. 1, 2006.
Amended by:
Acts 2019, 86th Leg., R.S., Ch. 658 (S.B. 1859), Sec. 12, eff. September 1, 2019.
Notes of Decisions
Kao Holdings, L.P. v. Young, 261 S.W.3d 60 (Tex. 2008).
“A parallel provision was adopted in Tex. Bus. Orgs.Code § 152.306(a). Act of May 26, 2003, 78th Leg.”
D. Brent Lemon D/B/A Law Off. of D. Brent Lemon v. Daniel Hagood, 545 S.W.3d 105 (Tex. App. 2017).
· cites it 2× “TEX.BUS.ORGS.CODE ANN. § 152.306(b).9 Significantly, subsection (c) allows a creditor to proceed against a partner “without first seeking satisfaction from partnership property” if one of the four exceptions are met.”
Kao Holdings, L.P. v. Young, 214 S.W.3d 504 (Tex. App. 2007).
· cites it 2× “See Tex. Bus. ORGS. Code Ann. § 152.306 (a) (Vernon 2006).”
Am. Star Energy & Minerals Corp. v. Stowers, 405 S.W.3d 905 (2013).
· cites it 3× “It provides the sole means by which a creditor may hold a partner responsible for partnership debt and mandates that the creditor may so hold the partner individually responsible “only if’ a judgment is obtained against the partner and another is obtained against the partnership…”
S. California Sunbelt Developers, Inc. & Dan Baer// Donald B. Grammer; Colchester Mgmt. Servs., LLC; Brenda J. Grammer; GGDG, Ltd; Daralyn E. Grammer-Allen; Big a Tech. Ltd.; Apple Mgmt. Servs., LLC; Gregory M. Grammer; Cherry Blossom Ltd. P'ship; Lemon Leaf Ltd. P'ship; Colchester Fin. Ltd. P'ship; & Jaguar-Piaget Ltd. P'ship v. Donald B. Grammer; Colchester Mgmt. Servs., LLC; GGDG, Ltd; Daralyn E. Grammer-Allen; Big a Tech. Ltd.; Apple Mgmt. Servs., LLC; Gregory M. Grammer; Cherry Blossom Ltd. P'ship; Lemon Leaf Ltd. P'ship; Colchester Fin. Ltd. P'ship; & Jaguar-Piaget Ltd. P'ship// S. California Sunbelt Developers, Inc. & Dan Baer (2026).
· cites it 2× “Under Texas partnership law, “[a] judgment against a partnership is not by itself a judgment against a partner,” Tex. Bus. Orgs. Code § 152.306(a), so a creditor must obtain a judgment against the partner individually and may do so either in the suit against the partnership or…”
— Tex. Bus. Orgs. Code § 152.306(a) — 10 cases
Kao Holdings, L.P. v. Young, 261 S.W.3d 60 (Tex. 2008).
“A parallel provision was adopted in Tex. Bus. Orgs.Code § 152.306(a). Act of May 26, 2003, 78th Leg.”
— Tex. Bus. Orgs. Code § 152.306(b) — 3 cases
— Tex. Bus. Orgs. Code § 152.306(b)(2) — 1 case
— Tex. Bus. Orgs. Code § 152.306(b)(2)(A) — 3 cases
S. California Sunbelt Developers, Inc. & Dan Baer// Donald B. Grammer; Colchester Mgmt. Servs., LLC; Brenda J. Grammer; GGDG, Ltd; Daralyn E. Grammer-Allen; Big a Tech. Ltd.; Apple Mgmt. Servs., LLC; Gregory M. Grammer; Cherry Blossom Ltd. P'ship; Lemon Leaf Ltd. P'ship; Colchester Fin. Ltd. P'ship; & Jaguar-Piaget Ltd. P'ship v. Donald B. Grammer; Colchester Mgmt. Servs., LLC; GGDG, Ltd; Daralyn E. Grammer-Allen; Big a Tech. Ltd.; Apple Mgmt. Servs., LLC; Gregory M. Grammer; Cherry Blossom Ltd. P'ship; Lemon Leaf Ltd. P'ship; Colchester Fin. Ltd. P'ship; & Jaguar-Piaget Ltd. P'ship// S. California Sunbelt Developers, Inc. & Dan Baer (2026).
“Under Texas partnership law, “[a] judgment against a partnership is not by itself a judgment against a partner,” Tex. Bus. Orgs. Code § 152.306(a), so a creditor must obtain a judgment against the partner individually and may do so either in the suit against the partnership or…”
— Tex. Bus. Orgs. Code § 152.306(b)(2)(C)(ii) — 1 case
— Tex. Bus. Orgs. Code § 152.306(c) — 3 cases
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