If I understand correctly, you are referring to partnerships that are not incorporated. In that case, what you said is correct. Technically, though, those individuals should qualify for the initial $250,000 capital gains exemption if those gains are realized by the individual.
As to the $1.25 million cumulative capital gains exemption, that applies to the shares of small businesses. If a business chooses not to incorporate, it would therefore not qualify for the exemption for the sale of shares in a small business. This is not something new resulting from the change in legislation; it goes back to when the exemption was created, which was initially $500,000, and is for shares in small businesses only. For farmers, the $1.25 million in cumulative capital gains exemption applies equally to the shares and to the farm assets. For a business that is not a farm, however, it applies to the shares only.