northeastern Ohio | mid mn - 7/12/2022 20:24
I disagree, this protects the most worth less member in the LLC and usually the one living on the property.
That is a possibility, but it doesn't have to be that way. The clause I posted above is only one example of how to do it. The beauty of an LLC is that you control the terms, not a judge or state statute.
Here is an example of how messy it can be when property is not in an LLC. Unmarried couple with both names on the deed. One person wanted to sell the property, the other didn't. Judge ordered it to be sold. Then Judge had to determine what percentage each person owned with a detailed analysis of all financial records of both parties. Neither person was happy with the way the judge split it. Appealed the decision. What a mess! https://farmoffice.osu.edu/blog/thu-03102022-1221pm/ohio-case-illust...
If they would have put it in an LLC, the rules for selling and splitting proceeds would have been determined when the LLC was formed.
My point: if set up correctly, an LLC can be a useful tool in farm estate planning. There are probably things that need tweaked to each individual case, so consult a competent lawyer. |
Divorce question?
