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Are new members of an LLC responsible for outstanding debts of the LLC?
Asked Feb 18, 2011, 01:40 PM
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My partner and I are 50/50 owners of an LLC. We are both managing members. 50% of our ownership was used as collateral for loans from an investor. The investor is also a managing member but did not have an ownership interest in the LLC until we defaulted on the loans. The investor now has 50% ownership of the LLC. The investor claims that any outstanding debts of the LLC are our responsibility and he is only responsible for new expenses. If he owns 50% of the LLC and it's profits, does he share 50/50 in any outstandig debts of the LLC regardless of when the during the year he took ownership? It would appear to me that if you elect to take 50% of a company, you take the debts along with it. Also, according to our agreement, my partner and I still maintain 2/3 of the managing member votes. |
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