Removing a Partner from an LLC in Texas: A Comprehensive Guide

Texas’ Texas Business Organizations Code governs Limited Liability Companies (LLCs). LLCs are legal entities that can have one or more members, also referred to as owners. An LLC may have an operating agreement in writing outlining its ownership and management structure. However, leaving the LLC might be a difficult process for a member. This article will explain how to dissolve an LLC in Texas and respond to some associated queries.

A person or organization that accepts legal paperwork on behalf of an LLC is known as a registered agent. The registered agent must be readily accessible during regular business hours and have a physical address in Texas. Although it is not necessary, a registered agent of the LLC may also be an owner. In Texas, is it possible to act as your own registered agent?

In Texas, you are allowed to act as your own registered agent. It is crucial to remember that the registered agent must be accessible during regular business hours and that their name and physical address are made public. The LLC must appoint a registered agent to take service of process on its behalf if it does not have a physical address in Texas. In Texas, may an LLC’s organizer also serve as the registered agent?

Yes, the registered agent in Texas may be the LLC’s founder, but they are required to have a Texas physical address and be accessible during regular business hours. The individual who submits the certificate of formation to the Texas Secretary of State is the organizer.

The operating agreement of an LLC may contain terms describing the procedure for withdrawal or buyout when a member wishes to leave the LLC. In the absence of such clauses in the operating agreement, the Texas Business Organizations Code establishes default guidelines. A member must notify the other members in writing if they leave the LLC. The member’s interest in the LLC will be purchased out at fair market value, and the notice must include the withdrawal’s start date.

If the LLC is governed by its members, the other members may vote to kick the member out. The criteria for dismissing a member may be specified in the operating agreement. If the operating agreement permits it, the management of an LLC that is administered by a manager may dismiss a member.

In conclusion, it can be challenging to dissolve a partner’s interest in a Texas LLC. To decide what to do, it is crucial to analyze both the operating agreement for the LLC and the Texas Business Organizations Code. Although it’s not necessary, a registered agent of the LLC can also be one of its owners. In Texas, you have the option of serving as your own registered agent, although this makes the registered agent’s name and address public information. In Texas, the registered agent of the LLC may also be its creator. Additionally, you can register your DBA (Doing Business As) online with the Texas Secretary of State by submitting a form.