Does a Sole Member LLC Still Elect Officers and Directors, Even Though There is Only One Member?

Generally, a sole member LLC is managed by its Member.

In most cases, LLC’s do not elect officers or directors, although an LLC could, if it so wished, through its Operating Agreement.

This arrangement is not, however, the “norm” for sole member LLCs.

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In Lawsuit Against a Sole Member LLC, is the Liability of the LLC Only Equal to the Amount of the Initial Financial Contribution?

No, the Limited Liability Company is liable for all of its own debts, regardless of the amount of capital contribution paid by its Members, even a sole Member.

You may be confusing your thought process with the fact that a Member is not personally liable (in most cases) for the debts of the L.L.C.

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Can an LLC Assign Power of Attorney to a Non-Director or Non-Member to Handle Its Business Affairs?

A Limited Liability Company does have the legal authority to appoint an individual as “Attorney in Fact” using a Power of Attorney document.

But there are two organizational specifics that must be reviewed prior to making such a determination for the LLC.

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If a Limited Liability Company is Sold, How Are the Debts of the Business Handled?

The issue of debt treatment in a business purchase of a Limited Liability Company is usually highly-complicated and fact-specific.  The answer depends upon how the debt was created, how the company was purchased, and other mitigating factors.

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If I Retire from Our Family LLC, How Do I Transfer My Ownership to My Child?

Membership units in a Limited Liability Company (LLC) can, like stock in a corporation, be transferred from the LLC owners to others, including other current owners of the LLC.

A Sale Agreement or Assignment Agreement can be created to document the transfer of membership units (or stock), the parties to the transfer, the price for the units or stock (if any), etc.

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