What typically happens to a partnership if one partner decides to withdraw?

When a partner withdraws from a partnership, the default legal principle is that the partnership is dissolved unless there is an agreement among the remaining partners allowing it to continue. This dissolution is rooted in the fundamental nature of partnerships as entities based on the mutual agency and consent of the partners involved. If no provision is made in the partnership agreement to handle withdrawals, the law typically treats the withdrawal as a significant change that disrupts the partnership's continuity.

This reflects the notion that partnerships are often made up of specific individuals who agree to work together. When one of those individuals withdraws, particularly a general partner, it can change the dynamics significantly enough that a dissolution is appropriate. The remaining partners would then have the task of either winding up the affairs of the partnership or establishing a new partnership if they choose to continue their business endeavors together without the withdrawing partner.

Thus, in absence of an agreement that handles withdrawals, the standard legal outcome is the dissolution of the partnership unless the remaining partners unanimously agree to continue the partnership under revised terms.