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 Richard - Bizlaw Your Own Question
Richard - Bizlaw
Richard - Bizlaw, Attorney
Category: Business Law
Satisfied Customers: 10645
Experience:  30 years of corporate, litigation and international law
18695994
Type Your Business Law Question Here...
Richard - Bizlaw is online now
A new question is answered every 9 seconds

I started a small LLC with a friend a year ago. His idea,

Customer Question

I started a small LLC with a friend a year ago. His idea, my money. we signed a partnership agreement on the side. its a very simple 3 page (large print) document. business is good but not good enough to buy me out from the business and I want my money back to move on to other things. We had an offer to buy some of the business I said no a few months back but the offer was at $1000 per 1% of the company. I own 40% and I originally invested 7k. Just wondering if you could take a quick look at the partnership agreement and tell me if I am within my rights to sell to anyone I choose on the open market? we are a concert venue (small time) and one of the other venue owners here wants to throw shows at our place and offered to buy in. Technically it would be selling to a competitor but we are actually friends and help each other out more than compete. what are my rights here?
Submitted: 4 years ago.
Category: Business Law
Expert:  Richard - Bizlaw replied 4 years ago.

Richard :

Hello, I will try to help you. Please remember I just report or interpret the law, so the outcome may not be what you hoped for. If you upload the agreement I can take a look at it in the morning if that works for you. I am calling it a night now.

Customer :

Full Size Image

Customer :

Full Size Image

Customer :

Full Size Image

Richard :

You have the right, without the approval of your partner, as a partner to transfer your interest in the profits and losses of the partnership and the right to receive partnership distributions. Utah statute 48-1b-502. However, you cannot transfer any management interest in the partnership. This means the person to whom you transfer your interest has no voice in how the partnership is run. If they want to be able to excerecise the same rights you have in running the partnership, your partner has to agree to the transfer. Your partnership agreement has no provision governing a sale of the pertnership interest so it is govered by Utah law.

Richard :

If I have answered all your questions, please rate my answer excellent as that is how I am compensated. If you have more questions, please let me know. If the answer was especially helpful you can provide a bonus.