Unit 8 discussion – Uniform Limited Liability Company
In absence of an operating agreement, dispute in profit and loss sharing are decided by the provision of the Uniform Limited Liability Company Act ULLCA. ULLCA was promulgated in 1994 by the Uniform Law Commission. The ULLCA provides ways through which the aspiration of members regarding the duration and the management structure of the company will be protected. The ULLCA is activated by the required provisions in the article of organization. The article of association is variable. Apart from the core rules regarding the fiduciary behaviors of managers and members, the rest are simply default rules which members can change in the operating agreement.
Mancuso, A. (2010). Your Limited Liability Company: An operating manual. New York: Nolo
Miller, R. & Jentz, G. (2009).Fundamentals of business law: Excerpted cases. New York: Cengage Learning. Uniform Limited Liability Company Act (ULLCA).