How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask Dimitry K., Esq. Your Own Question
Dimitry K., Esq.
Dimitry K., Esq., Attorney
Category: Business Law
Satisfied Customers: 41220
Experience:  Run my own successful business/contract law practice.
Type Your Business Law Question Here...
Dimitry K., Esq. is online now
A new question is answered every 9 seconds

My father died and he was a manager in a LLC in Texas that

Resolved Question:

My father died and he was a manager in a LLC in Texas that had no article of organization. I am told that I have no say in the LLC by the remaining manager, which is taking money form the company.
Submitted: 5 years ago.
Category: Business Law
Expert:  Dimitry K., Esq. replied 5 years ago.
Thank you for your question.

Acutally the manager is half-right; If there is no article of organization or operation, that means there is no direct rules on cessation and transfer of ownership upon death, disability, or other causes. That in turn means that even if you are the father's beneficiary and sole heir, you do not automatically obtain rights to the business.

However, the executor of your father's estate DOES obtain the right to the business. Therefore the executor CAN demand an accounting, even a termination of business or a payoff of what is owed, and can retain forensic accountants to follow the funds. If the other manager refuses, the executor of the estate can file suit against the manager and the company for breach of fiduciary duty and in that manner establish control of the company or at least the company assets.

Good luck.
Dimitry K., Esq. and 3 other Business Law Specialists are ready to help you

Related Business Law Questions