New York Resolution of Meeting of LLC Members to Remove the Manager of the Company and Appoint a New Manager

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Multi-State
Control #:
US-212LLC
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Word; 
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This form is a Resolution of Meeting of LLC Members to remove the manager of the company and to appoint a new manager.

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FAQ

Manager: An LLC manager is an individual, group, or entity chosen by LLC members to manage the day to day operation of the company. Managers may be one or more current members or a third party. Third party managers can be people or other business entities such as corporations or other LLCs.

The only way a member of an LLC may be removed is by submitting a written notice of withdrawal unless the articles of organization or the operating agreement for the LLC in question details a procedure for members to vote out others.

Can an LLC have two managing members? Yes. A multi-member LLC can have as many managing members as desired.

There could be one manager or multiple, and the manager could be a member (but need not be). If the manager isn't a member, they are called a professional manager. The managers act as a board of directors would for a corporation. Manager management is appropriate when an LLC has investors.

Only a manager-managed LLC can have a board, so you would have to consider this at formation. A board of directors is a handy way to align members with appropriate duties and enforce communication.

Right to bind the LLC On the other hand, a member in a manager-managed LLC is not an agent of the LLC and cannot bind itonly a manager can. In many states this agency is statutory. The LLC act specifically says that a member in a member-managed LLC and a manager in a manager-managed LLC is an agent of the LLC.

The members appoint one or more managerswho may or may not also be membersto manage the LLC. Only the managers may bind the LLC to contracts and participate in the day-to-day operation of the business.

Members can change the management structure of its LLC according to the rules in the operating agreement. To complete the process, the members of an LLC must vote and approve the changes. After the voting process, an amendment to the articles of organization is filed with the secretary of state's office.

Business owners have the option to be member-managed or manager-managed. This means that LLC members can take a full and active role in regular business operations or they may choose to designate a manager or managers to handle day to day responsibilities.

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New York Resolution of Meeting of LLC Members to Remove the Manager of the Company and Appoint a New Manager