Will Your Personal Obligations Cause You To Lose Control of Your LLC? LLC Charging Order Update: Vision Marketing Resources, Inc. v. McMillin Group, LLC (Part 2)

Vision Marketing Resources, Inc. v. McMillin Group, LLC.  In Vision Marketing, the court first addressed whether it could issue a charging order against a non-Kansas LLC over which it did not have jurisdiction. There was no Kansas case law on this issue, so the court...

Will Your Personal Obligations Cause You To Lose Control of Your LLC? LLC Charging Order Update: Vision Marketing Resources, Inc. v. McMillin Group, LLC

In our previous blog series on single-member LLCs and creditors’ rights (available here), we discussed charging order protection and courts’ application of the same to single-member LLCs. As we mentioned, the obvious purpose of charging order is to protect other...

LLC Owners, If You Owe Someone Money, Your Ownership of an LLC Might Not Be Protected: When It Comes to Single-Member LLCs, Charging Order May Not Be the Exclusive Remedy (Part 6)

After Olmstead v. FTC, a Florida Case with Potential National Implications. The Florida Supreme Court’s opinion in Olmstead v. FTC created much uncertainty concerning charging order protection for multi-member LLCs in Florida[1] and seems to have been the catalyst for...

LLC Owners, If You Owe Someone Money, Your Ownership of an LLC Might Not Be Protected: When It Comes to Single-Member LLCs, Charging Order May Not Be the Exclusive Remedy (Part 5)

Real Life Stories (Cases) on the Issue: Olmstead v. FTC (Florida). Olmstead v. FTC, a non-bankruptcy case, dealt with the question as to whether a court may order judgment debtor to surrender all right, title, and interest in the debtor’s single-member LLC to satisfy...

LLC Owners, If You Owe Someone Money, Your Ownership of an LLC Might Not Be Protected: When It Comes to Single-Member LLCs, Charging Order May Not Be the Exclusive Remedy (Part 4)

Real Life Stories (Cases) on the Issue: In re Modanlo (Delaware). In Modanlo, Modanlo was the debtor and held a 100% ownership interest in NYSI, a Delaware single-member LLC.[1] Subsequently, the trustee filed a bankruptcy petition for NYSI and sought the court’s...