Legal Question in Business Law in Delaware

If a new partner was added to an LLC and changes were made to a restricted unit agreement between LLC and the new partner (favorable to the new partner), do changes also apply to existing partners? Or do existing partners need to initiate new/revised agreement?

Asked on 8/30/16, 11:42 am

1 Answer from Attorneys

Roman Fichman Esq. Law Practice of Roman Fichman Esq.

Generally speaking, the terms of a restricted unit agreement between one member does not necessirly impute to the agreements of other members of the LLC. With that said, however, the other members may have the power to reject such an agreement if authorized so by the operating agreement of the LLC and / or by the restrict unit agreements of the other members.

The bottom line is that the operating agreement would need to be reviewed to have an understanding whether the LLC was authorize to issue the agreement at issue.

Such a review is not costly and should only take a couple of hours (this would include a consultation). Contact me directly.

Roman R. Fichman, Esq. │ @TheLegalist

email: Info (@) TheLegalists (dot) com

t e l : 2 1 2 -- 3 3 7 -- 9 8 3 7

Disclaimer: This post has been written for educational purposes only and was not meant to be legal advice and should not be construed as legal advice or be relied upon. No intention exists to create an attorney-client relationship or any other special relationship or privilege through this post. The post may contain errors, inaccuracies and/or omissions. You should always consult an attorney admitted to practice in your jurisdiction for specific advice. This post may be deemed as Attorney Advertising.

Read more
Answered on 8/30/16, 1:18 pm

Related Questions & Answers

More Business Law questions and answers in Delaware