SB113 Alabama 2015 Session

Under existing law, the Alabama Limited Liability Company Law of 2014, provides for the formation of limited liability companies

This bill would clarify that the law of the state in which a foreign limited liability company is formed governs the internal affairs of that entity

This bill would clarify the treatment of a limited liability company and a foreign limited liability company for purposes of certain taxation

This bill would clarify that, under normal circumstances, the liability of a member of a limited liability company for wrongful distributions is limited to the amount of the distributions received

This bill would also make technical corrections in cross references

To amend Sections 10A-5A-1.05, 10A-5A-1.06, 10A-5A-1.07, and 10A-5A-4.06, Code of Alabama 1975, as added by Act 2014-144, 2014 Regular Session (Acts 2014), relating to the Alabama Limited Liability Company Law of 2014, to clarify that the law of the state in which a foreign limited liability company is formed governs the internal affairs of that entity; to clarify the treatment of a limited liability company and a foreign limited liability company for purposes of certain taxation; to clarify that under normal circumstances the liability of a member of a limited liability company for wrongful distributions is limited to the amount of the distributions received; and to make technical corrections in cross references.