It is interesting to remember that general partners (GPs - associés commandités) have unlimited, joint and several liability for all obligations incurred by the special limited partnership (SLP - société en commandite spéciale). What about the liability of managers who are not GPs? In this case, general law (droit commun) provisions apply. This implies that these managers are liable to the SLP for the execution of the mandate they have received and for any faults committed in the course of their management.

Joint & Several Liability Towards Third Parties and Towards the Company for Breaches of the Law as well as the Partnership Agreement

The aforementioned managers are jointly and severally liable either:

towards the company;
towards any third party;

for any damage resulting from infringements of:

the law of 10 August 1915 on commercial companies as amended; or
the limited partnership agreement.

Release From Liability

The said managers are discharged from liability for offences in which they did not take part under two cumulative conditions:

if no fault is attributable to them; and
if they have reported such offences to the management board and the nearest general meeting of shareholders following the commission of the offence(s).

References: Articles 320-3 §2, 320-1 (1) and 441-9 of the law of 10 August 1915 on commercial companies as amended; #207-196* La responsabilité des gérants d’une SCSp (hors associé commandité), 13 juillet 2020, Bertrand Mariaux; the common limited partnership (société en commandite simple - SCS) is subject to the same rules as those mentioned in this article - in this respect, see publication : La responsabilité des gérants de la SCS (hors associés commandités) #185-174*, 22 juin 2020, Bertrand Mariaux.

*Podcast #328

The Liability of the Managers of an SLP (Excl. GP)-SLP-VIII *Article #328-317* *YouTube Video 317* . . . . . . . . #ImpactInvesting , #corporate , #avocat , #ServeAndThrive , #ThriveAndAccomplishYourMission , #MariauxAvocats , #MissionDriven , #MissionDrivenVenture , #alternativeinvestment , #limitedpartnership , #LP , #SpecialLimitedPartnership , #SLP , #SCSp , #sociétéencommanditespéciale, #DFI https://mariauxavocats.com/vademecum/mcjzl8thhl7wd9wd6bynysxzarmanx https://www.linkedin.com/pulse/liability-managers-slp-excl-gp-slp-viii-bertrand-mariaux To see this publication, go to our blog The VADE-MECUM - https://mariauxavocats.com/vademecum.

*YouTube Video 317*

328-317-The Liability of the Managers of an SLP (Excl. GP)-SLP-VIII*Article #328-317*: https://mariauxavocats.com/vademecum/mcjzl8thhl7wd9wd6bynysxzarmanx *...

Bertrand Mariaux, Avocat à la Cour, LL.M. (hons.)

Prestation de serment (Swearing-in oath): Luxembourg (2011), Certificat d’Aptitude à la Profession d’Avocat, École de Formation professionnelle des Barreaux de la Cour d’appel de Paris (2009), Bond University (LL.M. (distinct.), International Legal Practice, 2010), Université Sorbonne Paris Nord & University of Limerick (Master in European & International Law - major in economics, 2008), certified Expert in Microfinance (Frankfurt School of Finance & Management, 2015), social entrepreneurship (University of Oxford, 2015 & The Wharton School of Social Policy & Practice, 2014) and social & solidarity economy (International Labour Organization Academy - Social & Solidarity Economy, Organisation Internationale du Travail - Économie Sociale et Solidaire, 2017)

Contributor: Cédric Buisine, Avocat

Editor: Nikolai Shillinglaw