Can a member transfer his interest in the limited liability company to a third party?
Limited liability companies can determine for themselves whether a member can transfer ownership interest in the company to a third party. This determination is spelled out in the company’s Articles of Organization. If no rule is set forth in the company’s Articles, then the default rules of the state of organization will govern. The default rule in most states requires either a majority or unanimous vote of the members in order to obtain consent to transfer a limited liability company ownership interest. To find out what the default rules are in your state, see our State Law Digest, which includes a citation to each state’s limited liability company statute.
