Home PageAbout UsSearchContact UsServicesSite MapTax FAQsEst. Planning FAQsTax CourtLLC'sLLC's in For. JurisTax NewsReal Estate Tax FAQsTax PlanningGifts Reduce TaxBusiness PurchasesEmployer Tax IssuesMedical ExpensesBusiness PlanningFinance for BusinessW-2 ErrorsSocial SecurityRetirement PlanningReal Est/LeasesTax CollectionsHome Sale ExclusionCash ProtectionTax AuditsTrips- Tax TreatmentLong Distance CreditBusiness Law FAQsEstate Planning/GiftEspanolBusiness AgreementsScams/Nigerian ScamsLatin Legal TermsLawsuits & ADRWorld BusinessMarketingBusiness AircraftNewsletter Sign-upLiability DisclaimerYear End Tax PlanElecting S CorpEmployment IssuesMartketing CustomersMarketing & SalesQuotesNegotiation Help Header1.jpg

LLC's Need a Written Operating Agreement

===========Question: I am the managing member of an LLC in New Jersey and have a question concerning other members of the LLC. Currently I have two members other than myself of my LLC and would like to know if I would be able to remove them from the members list without any repercussion from the members. Do I need a written consent that they acknowledge that they are being taken off or can I just remove them and notify them of it at a later time? There has been no signed agreement between me and the other two members concerning the LLC's practices, division of clients or division of profits. The other members and myself are not seeing eye to eye and I would like to take on a new member and remove the other two...is this possible?

===========Reply: Yours is a typical situation when people try to form businesses without the appropriate legal help. Unfortunately, you do not have a written Operating Agreement. This means that the terms of your LLC agreement are "oral." It does not mean that you have NO agreement. You can not remove the other members except under agreed terms or by law. You must contact a business lawyer immediately!

Virtualex.com Ronald J. Cappuccio, J.D., LL.M.(Tax) 1800 Chapel Avenue West Suite 128 Cherry Hill, NJ 08002 Phone:(856) 665-2121      Fax: (856) 665-9005 Email: ron@taxesq.com

Home Page | About Us | Search | Contact Us | Services | Site Map | Tax FAQs | Est. Planning FAQs | Tax Court | LLC's | LLC's in Foreign Countries | Tax News | Real Estate Tax FAQs | Tax Planning | Gifts Reduce Tax | Business Purchases | Employer Tax Issue | Medical Expense Deductions | Business Planning | Finance for Business | W-2 Errors | Social Security | Retirement Planning | Real Estate and Leases | Tax Collections | Home Sale Exclusion | Cash Protection Security | Tax Audits | Tax Treatment of Trips | Long Distance Tax Credit | Business Law FAQs | Estate Planning/Gifts | Espanol | Business Agreements | Scams & Nigerian Scams | Latin Legal Terms | Lawsuits & ADR | World Business | Marketing | Business Aircraft | Newsletter Sign-up | Disclaimer of Liability | YEAR END TAX PLANNING | Converting to S Corporation Election | Employment Issues | Marketing.Customers | Marketing & Sales Ideas | Quotes | Negotiation Help