§ 4A-603
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/md/corporations-and-associations/4a-603·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
§4A–603.
(a)Unless otherwise agreed:
(1)Only an economic interest in a limited liability company may be assigned; and
(2)An economic interest is wholly or partly assignable.
(b)An assignment of an economic interest in a limited liability company does not:
(1)Dissolve the limited liability company; or
(2)Entitle the assignee to:
(i)Become a member; or
(ii)Exercise any rights of a member, including the noneconomic interest of the assignor.
(c)If an assignee of an economic interest in a limited liability company becomes a member of the limited liability company, the assignor is not released from the assignor’s liability under § 4A–502 of this title to the limited liability company.
(d)Unless otherwise agreed, on assignment of all of a member’s economic interest in a limited liability company, the member ceases to be a member of the limited liability company and forfeits the member’s noneconomic interest in the limited liability company.
(e)The pledge or grant of a security interest, lien, or other encumbrance in or against all or a part of the economic interest of a member does not cause the member to cease to be a member or affect the member’s noneconomic interest in the limited liability company.