Legal Question in Business Law in Colorado
I have a LLC that was established in December. It only has 2 members , myself and my partner. Can one member remove the other without consent?
2 Answers from Attorneys
As a Franchise Attorney I can say the answer is usually no. Just like a corporation can't arbitrarily remove shareholders. Review your LLC's operating agreement and consult with a good business or franchise attorney in your area for specific advice.
Mr. Franchise - Kevin B. Murphy, B.S., M.B.A., J.D.
Franchise Foundations, a Professional Corporation
One member cannot remove another unless there is an agreement allowing such removal under the operating agreement terms (these should be in writing).
Contact a local business attorney to draft a written operating agreement to set the terms of your business. Having a good agreement is critical.
This answer is for informational purposes only and is not legal advice regarding your question. This answer does not establish an attorney-client relationship.
Related Questions & Answers
-
I am a free lance Copywriter in Colorado. I contracted with a Realtor in Georgia for... Asked 8/04/11, 12:30 pm in United States Colorado Business Law
-
According to Colorado law, does a creditor of a Corporation have any right to... Asked 8/03/11, 5:26 am in United States Colorado Business Law
-
I am an online magazine with paid subscribers. Is it legal for me to drive more... Asked 8/02/11, 1:35 pm in United States Colorado Business Law
-
I am an online magazine with paid subscribers. Is it legal for me to drive more... Asked 8/02/11, 12:26 pm in United States Colorado Business Law
-
I just made a verbal agreement (recorded) on the phone today to purchase numismatic... Asked 8/01/11, 11:44 pm in United States Colorado Business Law