Effect of dissociation

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29-3603. Effect of dissociation

A. If a person is dissociated as a member, all of the following apply:

1. The person's right to participate as a member in the management and conduct of the limited liability company's activities and affairs terminates.

2. The person's duties and obligations under section 29-3409 as a member end with regard to matters arising and events occurring after the person's dissociation.

3. Subject to section 29-3504 and article 10 of this chapter, any transferable interest owned by the person in the person's capacity as a member immediately before dissociation is owned by the person solely as a transferee.

B. A person's dissociation as a member does not of itself discharge the person from any debt, obligation or other liability to the limited liability company or the other members that the person incurred while a member.


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