Can or should a court dissolve a limited liability company on the ground it is unprofitable? See what you think after reading this week’s New York Business Divorce.
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Roundup of 2007 Business Divorce Cases
Here’s a preview of (and link to) Peter Mahler’s recently published article in the New York Law Journal highlighting the most interesting business divorce cases decided by New York courts in 2007.
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Anatomy of a Dissolution Slugfest: Part II
By Peter A. Mahler on
Read Part II of a five-part series about a high-stakes dissolution donnybrook involving a luxury car dealership.
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LLC Members May Bring Derivative Suits
By Peter A. Mahler on
Read about a decision issued today by New York’s highest court, upholding the right of LLC members to bring derivative lawsuits on behalf of LLCs.
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Decision Highlights Interplay Between Employment Status and LLC Membership
By Peter A. Mahler on
Read about an appellate decision issued last week concerning the standing of an LLC member to seek judicial dissolution after he resigned his employment with the company.
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Expelling an LLC Member
By Peter A. Mahler on
Expelling an unwanted member of an LLC sounds like a great alternative to dissolving the LLC, but it may not be possible or easy depending on the provisions of the Operating Agreement.
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LLC Dissolution and Receivers
By Peter A. Mahler on
The LLC Law omits any provision for appointment of a temporary receiver. Read about a recent case where it made a difference.
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Dissolution of LLCs vs. Corporations: There Are Important Differences
By Peter A. Mahler on
Posted in Grounds for Dissolution, LLCs
Judicial dissolution of a New York limited liability company (LLC) is governed by Section 702 of the LLC Law (LLCL), whereas judicial dissolution of a closely held business corporation is governed by Article 11 of the Business Corporation Law (BCL). Under Section 702, a court may order LLC dissolution “whenever it is not reasonably practicable…