Common use of The Basics Clause in Contracts

The Basics. An Operating Agreement or Limited Liability Agreement is a contract and governed by principles of contract law • Basic components: – What goes in (contributions) – How it runs (allocations; governance; restrictions; exit strategies) – What comes out (distributions) – How it ends (sales; liquidation) •

The Basics. An Operating Agreement or Limited Liability Agreement is a contract and governed by principles of contract law • Basic components: – What goes in (contributions) – How it runs (allocations; governance; restrictions; exit strategies) – What comes out (distributions) – How it ends (sales; liquidation) •