Use Article IX’s Involuntary Transfer Mechanism
- Use Article IX’s Involuntary Transfer Mechanism
• Section 9.04 lets the Company and the Other Members buy any “Involuntary Transfer” (e.g., a lien, bankruptcy or garnishment) at 20% of fair value.
• You can record a creditors’ lien against his Membership Interest for the unpaid default contributions. Once that lien exists, it triggers an “Involuntary Transfer” right—letting you buy him out at a steep discount.