Charging order.
R.I. Gen. Laws § 7-13.1-703
in effect7-13.1-703. Charging order.
(a) On application by a judgment creditor of a partner or transferee, a court may enter
a charging order against the transferable interest of the judgment debtor for the
unsatisfied amount of the judgment. A charging order constitutes a lien on a judgment
debtor’s transferable interest and requires the limited partnership to pay over to
the person to which the charging order was issued any distribution that otherwise
would be paid to the judgment debtor.
(b) To the extent necessary to effectuate the collection of distributions pursuant to
a charging order in effect under subsection (a) of this section, the court may:
(1) Appoint a receiver of the distributions subject to the charging order, with the power
to make all inquiries the judgment debtor might have made; and
(2) Make all other orders necessary to give effect to the charging order.
(c) Upon a showing that distributions under a charging order will not pay the judgment
debt within a reasonable time, the court may foreclose the lien and order the sale
of the transferable interest. The purchaser at the foreclosure sale obtains only the
transferable interest, does not thereby become a partner, and is subject to § 7-13.1-702.
(d) At any time before foreclosure under subsection (c) of this section, the partner or
transferee whose transferable interest is subject to a charging order under subsection
(a) of this section may extinguish the charging order by satisfying the judgment and
filing a certified copy of the satisfaction with the court that issued the charging
order.
(e) At any time before foreclosure under subsection (c) of this section, a limited partnership
or one or more partners whose transferable interests are not subject to the charging
order may pay to the judgment creditor the full amount due under the judgment and
thereby succeed to the rights of the judgment creditor, including the charging order.
(f) This chapter does not deprive any partner or transferee of the benefit of any exemption
law applicable to the transferable interest of the partner or transferee.
(g) This section provides the exclusive remedy by which a person seeking in the capacity
of a judgment creditor to enforce a judgment against a partner or transferee may satisfy
the judgment from the judgment debtor’s transferable interest.
P.L. 2022, ch. 121, § 2, effective January 1, 2023; P.L. 2022, ch. 122, § 2, effective
January 1, 2023.
Source: State of Rhode Island General Assembly (rilegislature.gov)URL: https://webserver.rilegislature.gov/Statutes/TITLE7/7-13.1/7-7/7-13.1-703.htmFetched: 10/20/2026