Nevis Limited Liability Company Ordinance

PART VI
FINANCE
Capital 32. The capital contribution of a member to a limited liability company
contributions may be in cash, property, services rendered, or a promissory note or other binding
obligation to contribute cash or property or to perform services.
Liability 33. (1) A promise by a member to contribute to the limited liability
for capital company is not enforceable unless set forth in a writing signed by
contributions the member.
(2) Unless otherwise provided in the operating agreement, a member is
obligated to the limited liability company to perform any enforceable promise to
contribute cash or property or to perform services.
(3) Except as set forth in subsection(4), if a member for any reason fails to
perform any enforceable promise to make the required contribution of property
or services, the member is obligated, at the option of the limited liability
company, to contribute cash equal to that portion of the value of the stated
contribution that has not been made.
(4) If the member is unable to perform an enforceable promise to perform
services because of death or disability, the member's estate or other successor is
obligated to contribute cash equal to that portion of the value of the stated
contribution that has not been made.
(5) An operating agreement may provide that the interest of a member who fails
to make a contribution or other payment that the member is required to make
shall be subject to specified remedies for, or specified consequences of, the
failure in addition to, and not in lieu of, any other rights that the limited liability
company may have against such member. The remedy or consequence may take
the form of reducing the defaulting member's interest in the limited liability
company, subordinating the defaulting member's interest in the limited liability
company to that nondefaulting members, a forced sale of the interest in the
limited liability company, forfeiture of the interest in the limited liability
company, the lending by the nondefaulting members of the amount necessary to
meet the commitment, a fixing of the value of the member's interest in the
limited liability company by appraisal or by formula and redemption and sale of
the member’s interest in the limited liability company at that value, or other
remedy or consequence.
(6) Unless otherwise provided in the operating agreement, the obligation of a
member to make a contribution may be compromised only with the unanimous
consent of the members.
Interim 34. Except as otherwise provided in sections 41 and 57, distributions of
distributions cash or other assets of a limited liability company shall be shared among the members,
and among classes or groups of members, in the manner and at the times or upon the
occurrence of events provided in the operating agreement. If the operating agreement
does not so provide, distributions shall be made on the basis of the value of the
contributions made by each member to the extent they have been received by the
limited liability company and have not been returned.
Distribution in 35. Unless otherwise provided in the operating agreement a member,
kind prohibited regardless of the nature of the member's contribution, has no right to demand and
receive any distribution from the limited liability company in any form other than cash.
Right to 36. At the time a member becomes entitled to receive a distribution, the
distribution member has the status of a creditor of the limited liability company with respect to the
distribution.