Appellate Practice Attorney serving New York, NY
What does you operating agreement provide? Does it have a buy/sell or other provision which alows the majority member to compel the minority member to sell his interest? If not, and if you haven't breached your duty to the llc in some way, you are under no obligation to accept any offer to buy you out. As a practical matter, however, the majority (and presumably managing) member has a lot of power to make matters difficult for you if you stick around. For example, you don't indicate whether you are employed by the llc or only an investor, but if you are employed it is possible (depending on what your employment agreement provides) that the majority mamber can fire you. You would remain a member of the llc, but not an employee, and wouldn't be drawing any salary.
Answered on Aug 01st, 2017 at 7:18 AM