Hunt & Associates P.C.

Dec 1, 2010

Limitations on Distributions from Closely Held Corporations and Limited Liability Companies in Oregon and Their Potential for Personal Liability

There are important statutory limitations on the ability of Oregon corporations and limited liability companies (“LLC’s”) to make distributions to their shareholders and members which are often ignored ultimately at the risk of the directors, managers or other members.  Distributions, including redemptions, made disregarding the statutory limitations may result in personal liability of those directors, managers or members responsible for an improper distribution if the company subsequently becomes insolvent.… Read more