2 Del. Decisions Bring Practice Points For MLP Planners

By Thomas Mullen, Christopher Kelly and Mathew Golden ( August 29, 2017, 12:22 PM EDT) -- Two recent decisions by the Delaware courts underscore the importance for a sponsor of a master limited partnership (MLP) to avail itself fully of the latitude provided by the Delaware Revised Uniform Limited Partnership Act to privately order the affairs of the MLP by, among other things, including conflict resolution safe-harbor provisions in the partnership agreement that, if employed, will immunize a conflict-of-interest transaction from judicial review, save for the possible limited application in rare cases of the implied covenant of good faith and fair dealing (which cannot be eliminated). ...

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