Posted by Kimik on February 27, 2004 at 10:21:49:
Thank You
Charging Order example in Garrett’s book - Posted by Kimik
Posted by Kimik on February 26, 2004 at 17:35:21:
I understood your example about how to protect yourself from a charging order using an LP and you said it would work the same for an LLC, but since their isn’t a general partner in an LLC I was not able to follow how to do it for an LLC. Would you explain that to me?
Re: Charging Order example in Garrett’s book - Posted by Garrett Sutton
Posted by Garrett Sutton on February 27, 2004 at 09:35:14:
The manager of the LLC will control how distributions are made. Like the GP in an LP, the LLC manager may need to be a friendly but arm’s length party so that the creditor cannot make demands of such a party. Remember that the charging order is the exclusive creditor remedy in Wyoming and Nevada, which is why it is worth considering setting up in one of those states. Best wishes, Garrett
Nevada law change??? - Posted by randyOH
Posted by randyOH on February 28, 2004 at 10:35:10:
Garrett,
Could you please take a look at this webpage?
http://www.nvinc.com/updatechargingorder.htm
It seems to be saying that a judgement creditor can foreclose on a member’s interest in an LLC in Nevada and a number of other states. It also indicates that this is a trend in state law.
I would be interested in your thoughts.
Randy