What occurs when Daoang assigns his interest in the partnership?

When Daoang assigns his interest in the partnership, Daoang and Depante continue to remain partners despite the assignment. An assignment of interest in a partnership generally transfers the financial benefits of that interest to the assignee, but it does not automatically grant the assignee any rights to participate in the management or decision-making of the partnership.

In this scenario, the essence of a partnership is that it requires mutual consent among all partners for a new partner to be admitted. Therefore, although Trinidad may now be entitled to receive the profits associated with Daoang's interest, he does not become a partner unless all existing partners agree. This arrangement ensures the continuity of the partnership's operational structure and relationships between partners.

The other options reflect misunderstandings of how assignments in partnerships typically function. Assigning an interest does not dissolve the partnership, nor does it imply that the assignee gains management control without the consent of the other partners.