Risk Management Services, LLC v. Moss provides an interesting lesson on the importance of covering all elements of an LLC’s existence within the operating agreement, including the expulsion or termination of a fellow member.

In Racing Investment Fund 2000 v. Clay Ward Agency, Inc., 320 S.W.3d 654 (Ky. 2010), an LLC creditor attempted to force the LLC to call for capital from the members in order to satisfy the creditor’s judgment claim for unpaid insurance premiums. The creditor’s attempt was based on a capital call provision in the LLC operating agreement.

In a special report prepared in conjunction with a presentation at the University of Iowa College of Law’s 2011 Spring Tax Institute, David Repp takes in in-depth look at estate planning considerations for farmers and other landowners. Part 1 of 7 focuses on non-tax estate planning.

One of the most prevalent corporate characteristics seen in LLC operating agreements is the concept of a board of managers intended to act like a board of directors. Corporate board members, however, do not have an independent right to act on behalf of the corporation. That may not be the case with managers of an LLC.

By filing a statement of authority with the Iowa Secretary of State you can eliminate any questions regarding the authority of a person to sign a loan agreement, a note, a deed, or any other legal document. But here is the caution. A statement of authority does not necessarily mean the particular transaction you are concerned about has been authorized by the LLC.