The Importance of the “Purpose” Clause of the LLC’s Operating Agreement

The Importance of the “Purpose” Clause of the LLC’s Operating Agreement

       In an article recently published in the Journal of Passthrough Entities, I considered the importance of a customized “purpose” clause in an LLC’s operating agreement (guidance which is equally applicable to partnership agreements) and the consequences of a generic “any lawful purpose” provision. That article is Purpose: If You Do Not Know Where You Are Going, How Will You Know If You Have Arrived, 20 J. Passthrough Entities 37 (Nov./Dec./2017).

       HERE IS A LINK to the article.