If my LLC has a negative net worth and my partner wants a buyout, do I have to give her cash?

Asked on February 10, 2013 under Business Law, Oregon


FreeAdvice Contributing Attorney / FreeAdvice Contributing Attorney

Answered 7 years ago | Contributor

Under the laws of all states in this country when a business has no net worth there is nothing to divide between the owners of it. As such you are not obligated to pay your partner a buy out but if you wish to, you acn clearly do so. It is all up to you. One option is simply to dissolve the entity.

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