What to do when an LLC member states his/her intention to withdrawal and then stalls?

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What to do when an LLC member states his/her intention to withdrawal and then stalls?

The member has stopped working and communicating, which has made life increasingly difficult. This member has signed an operating agreement, which specifies a member is entitled to no more than his/her capital account in the event of a withdrawal.

Asked on July 28, 2012 under Business Law, Georgia

Answers:

FreeAdvice Contributing Attorney / FreeAdvice Contributing Attorney

Answered 8 years ago | Contributor

The best way to try and resolve the situation where a member of the limited liability company apparently has a change of heart about withdrawing is to have a meeting of the members of the entity to try and resolve the situation after proper notice.

If the member still wishes to withdraw, then have minutes setting such and then prepare a withdrawal agreement with the terms of the return of the member's capital account. I suggest a business attorney be consulted to assist in the matter.


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