Since the buyout price is based on the value of the business at the time of dissociation, the partnership must pay interest on the amount due from the date of dissociation until payment to compensate the dissociating partner for the use of his interest in the firm. Section 104(b) provides that interest shall be at the legal rate unless otherwise provided in the partnership agreement. The UPA Section 42 option of electing a share of the profits in lieu of interest has been eliminated.

UPA Section 38(2)(c)(II) provides that the good will of the business not be considered in valuing a wrongfully dissociating partner's interest. The forfeiture of good will rule is implicitly rejected by RUPA. See Section 602(c) and Comment 3.

The Section 701 rules are merely default rules. The partners may, in the partnership agreement, fix the method or formula for determining the buyout price and all of the other terms and conditions of the buyout right. Indeed, the very right to a buyout itself may be modified, although a provision providing for a complete forfeiture would probably not be enforceable. See Section 104(a).

4. Subsection (c) provides that the partnership may offset against the buyout price all amounts owing by the dissociated partner to the partnership, whether or not presently due, including any damages for wrongful dissociation under Section 602(c). This has the effect of accelerating payment of amounts not yet due from the departing partner to the partnership, including a long-term loan by the partnership to the dissociated partner. Where appropriate, the amounts not yet due should be discounted to present value. A dissociating partner, on the other hand, is not entitled to an add-on for amounts owing to him by the partnership. Thus, a departing partner who has made a long-term loan to the partnership must wait for repayment, unless the terms of the loan agreement provide for acceleration upon dissociation.