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.

A charging order is the exclusive remedy with regard to a debtor’s membership interest in an LLC, even if a creditor has a security agreement signed by the debtor that assigns all right, title and interest in a membership interest in an LLC to the creditor. This does not mean that creditors can’t take steps to improve their position with respect to claims they have on an LLC membership interest.

An opinion from the Superior Court of Vermont indicates once again why LLC operating agreements need to be drafted with care. In Casella Waste Systems, Inc. v. GR Technology, Inc., the question before the court was whether it had subject matter jurisdiction to dissolve two LLCs organized under Delaware law.

Applying partnership principles to single member entities can sometimes create havoc. Enter the case of Olmsted v. FTC (SC08-1009, June 24, 2010).

Iowa’s version of the statute of frauds is found at Iowa Code Section 622.32. It provides that evidence of a contract that is not to be performed within one year of its making is not valid, unless the contract is in writing and signed by the party against whom the contract is to be enforced.