PURPOSE CLAUSES IN LLC OPERATING AGREEMENTS

By , August 28, 2018 3:08 pm

The post by Peter Mahler under the link below shows the potential complexity and the land mines lurking in operating agreement purpose clauses approving “any lawful purpose.”  Maybe in some cases the solution is to provide that the members by majority or supermajority vote may specify or limit their LLC’s purpose from time to time.  In any event, thanks to Peter, I find I’m looking at “standard” purpose clauses with a new level of caution.

Here’s the link:  https://www.nybusinessdivorce.com/2018/02/articles/llcs/purposeless-purpose-clause-makes-comeback/

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