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- Consumer
Approval of Transfer of Membership form for LLC
question
We have a LLC, and would like to put it into our recovable living trust, So far I have come to the answer that a form “Approval of Transfer of Membership” has to be completed. Do you have these forms? and is this correct procedure.
answer
Your LLC should have an operating agreement and that should be amended and restated reflecting the new member, the revocable trust. You can use an assignment of membership interest form, but get a revised operating agreement. The document you mention sounds fine, it seems to refer to the fact that the other members have to approve the transfer. This is because most LLCs have significant restrictions on the transfer of membership interests to achieve tax and asset protection goals.