Anderson, SC asked in Uncategorized for South Carolina

Q: is an LLC operating agreement valid without forming an LLC

Related Topics:
1 Lawyer Answer
James L. Arrasmith
PREMIUM
James L. Arrasmith pro label Lawyers, want to be a Justia Connect Pro too? Learn more ›
Answered

A: An LLC operating agreement isn't valid without actually forming an LLC. The operating agreement is a legal document that outlines the ownership and operating procedures of a Limited Liability Company (LLC). Without creating the LLC through proper registration with the state, the operating agreement lacks a legal entity to govern.

If you haven't formed an LLC, the operating agreement has no legal standing or enforceability. It would be similar to drafting a set of rules for an organization that doesn't legally exist. The agreement depends on the LLC's existence to provide structure, rights, and responsibilities to its members.

To ensure your agreement is valid, you must first register the LLC with your state. Once the LLC is established, you can then create an operating agreement that aligns with your business goals and legal requirements. Without this step, the document will have no binding effect.

Justia Ask a Lawyer is a forum for consumers to get answers to basic legal questions. Any information sent through Justia Ask a Lawyer is not secure and is done so on a non-confidential basis only.

The use of this website to ask questions or receive answers does not create an attorney–client relationship between you and Justia, or between you and any attorney who receives your information or responds to your questions, nor is it intended to create such a relationship. Additionally, no responses on this forum constitute legal advice, which must be tailored to the specific circumstances of each case. You should not act upon information provided in Justia Ask a Lawyer without seeking professional counsel from an attorney admitted or authorized to practice in your jurisdiction. Justia assumes no responsibility to any person who relies on information contained on or received through this site and disclaims all liability in respect to such information.

Justia cannot guarantee that the information on this website (including any legal information provided by an attorney through this service) is accurate, complete, or up-to-date. While we intend to make every attempt to keep the information on this site current, the owners of and contributors to this site make no claims, promises or guarantees about the accuracy, completeness or adequacy of the information contained in or linked to from this site.