How do I give up interest in an LLC?

I was a part-owner of an LLC 15 with my old employer. I want to withdraw my ownership and make sure I will no longer have any legal or financial obligations in the


Asked on March 28, 2017 under Business Law, Texas


SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 3 years ago | Contributor

You can't give up your interest unless someone else takes it: your interest in the company is like real estate in a sense--someone has to own it. You can sell it to someone, like your own employer, even if only for a nominal fee; you can even gift it to someone for free, assuming they will accept it (you can't give someone something against their will). If someone will take your full interest in the LLC, that will sever your obligations to it from that point forward (you could potentially still be liable for certain things done prior to giving up your interest). If someone does take or buy your interest, have a written agreement confirming this.

IMPORTANT NOTICE: The Answer(s) provided above are for general information only. The attorney providing the answer was not serving as the attorney for the person submitting the question or in any attorney-client relationship with such person. Laws may vary from state to state, and sometimes change. Tiny variations in the facts, or a fact not set forth in a question, often can change a legal outcome or an attorney's conclusion. Although has verified the attorney was admitted to practice law in at least one jurisdiction, he or she may not be authorized to practice law in the jurisdiction referred to in the question, nor is he or she necessarily experienced in the area of the law involved. Unlike the information in the Answer(s) above, upon which you should NOT rely, for personal advice you can rely upon we suggest you retain an attorney to represent you.