Indemnification Payments Not Distributions. If and to the extent any payments to the Managing Member pursuant to this Section 7.7 constitute gross income to the Managing Member (as opposed to the repayment of advances made on behalf of the Company), such amounts shall constitute guaranteed payments within the meaning of Section 707(c) of the Code, shall be treated consistently therewith by the Company and all Members, and shall not be treated as distributions for purposes of computing the Members’ Capital Accounts.
Appears in 6 contracts
Samples: Contribution Agreement (Trizec Properties Inc), Limited Liability Company Agreement (Jernigan Capital, Inc.), Limited Liability Company Agreement (Nexpoint Diversified Real Estate Trust)
