Q: How to exit LLC partnership when partner doesn't want to?
We have two partners LLC and each of us owns 50%. There is no Operating Agreement. Due to conflicts and trust issues, I like to exit the LLC with my share of IP, cash and assets. My partner is not cooperating since he doesn't want me to leave. What should I be doing to make sure I exit LLC legally and taking what I deserve?
A: Usually you refer to the mechanism set forth in your operating agreement that governs the resignation of a member from the entity. In a case such as this you have to refer to the governing statute in NJ which is the NJ Revised Uniform Limited Liability Company Act. Moreover, you most likely need a savvy business lawyer to assist in this process.
A: You need a good lawyer otherwise you face losing a lot of money in a lawsuit by your former partner. This is the reason you always hire a lawyer to form your LLC because you would have had that operating agreement and a good one. Unfortunately many people are penny wise and dollar foolish.
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