Q: TexasLLC 50/50 %,both managing members divorcing. Can owner live in entity asset rent free? Can judge changeLLC % owner?
A:
Whether a member can live in an asset owned by the LLC rent free depends on what the company agreement says.
If the membership interests in the LLC are community property, the divorce court can effectively change the ownership percentage by awarding one spouse’s interest to the other.
A:
If your a divorcing, but you are not divorced, reference the operating agreement. Additionally, determine what the cost to the business is of having one of the owners live in the "entity asset." I assume it is a residential or commercial property.
There may be a solution outside of family court. I would need to learn more about the situation, read the operating agreement in addition to other agreements, and understand how you have historically run the business.
Contact a family attorney to learn about family court. I think you are referring to a family court judge.
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