Welcome to Law-Forums.org!   

Advertisments:




Sponsor Links:

Discount Legal Forms
Discounted Legal Texts


50/50 Llc Partnership And Partner Is Getting Divorced

Business Law discussions

50/50 Llc Partnership And Partner Is Getting Divorced

Postby Biadhaiche » Tue Aug 02, 2016 5:50 pm

My buddy and I started an llc partnership in IL a year ago for our website message boards. The company hasn't made any money but because she is going for his throat, she is threatening to go after our business.   He always stated if the company ever made money he would be happy to help with more money for child support but that's it. What is she entitled to?

Also, since this seems to be a rough divorce and he has no money to pay to his lawyer, he asked me for a loan and said he'd give up his half of his ownership and sign the business over to me. Is that even legal considering what's going on right now? Thank you so much

Christian
Biadhaiche
 
Posts: 44
Joined: Thu Jan 02, 2014 4:36 pm

50/50 Llc Partnership And Partner Is Getting Divorced

Postby Burty » Tue Aug 02, 2016 8:20 pm

Christian:

Your friend must find a way to hire an attorney.  He should contact the local bar association and see if they have a list of attorneys who might either handle his case pro bono or at a reduced cost, if that is what it takes.

As your company is not making money, her threat to "go after" it is somewhat hollow. While state law may vary, generally in a divorce the spouses would divide all of their assets, including any business interests.  If you company is not making money, it doesn't have much value and therefore your buddy could keep his interest fairly easily, provided he gave his ex-wife other assets of equal value. If you and your buddy have an operating agreement, you should review it's terms to see what your respective obligations are in an event such as this.

If your buddy was to turn over his interest in the business to you, you would need to pay him the fair market value of this interest, otherwise his soon to be ex-wife could challenge the arrangement.  If he were to sell you his interest, he might owe some taxes depending on his circumstances. This would be different than a loan, which he would be obligated to pay back to you. Before you get yourself involved in this situation, you too should hire an attorney to represent you and fully review your circumstances.

Check out http://bradyadvisor.wordpress.com  for informative articles on business legal issues.

This posting is for informational purposes only. It is NOT to be used as a substitute for specific legal advice or opinions, and the transmission of this information does not create an attorney-client relationship between sender and reader. Internet subscribers and online readers should NOT act upon this information without seeking professional counsel.
Burty
 
Posts: 46
Joined: Thu Feb 20, 2014 4:34 am


Return to Business Law

 


  • Related topics
    Replies
    Views
    Last post
cron