Transferor’s Membership Status Sample Clauses
The 'Transferor’s Membership Status' clause defines the rights and obligations of a member who is transferring their interest in a company or organization. Typically, this clause clarifies whether the transferor retains any membership rights, such as voting or profit participation, after initiating or completing the transfer of their interest. For example, it may specify that the transferor loses all membership privileges once the transfer is effective, or that certain rights persist until the transferee is formally admitted. The core function of this clause is to ensure clarity regarding the status and authority of the transferring member, thereby preventing disputes and confusion during the transfer process.
Transferor’s Membership Status. If a Member Transfers less than all of its Membership Interest in a Series, the Member’s rights with respect to the transferred portion of the Membership Interest, including the right to vote or otherwise participate in the Company’s governance and the right to receive Distributions, will terminate as of the effective date of the Transfer. However, the Member will remain liable for any obligation with respect to the transferred portion that existed prior to the effective date of the Transfer, including (without limitation) any costs or damages resulting from the Member’s breach of this Agreement. If the Member Transfers all of his, her, or its Membership Interest, the Transfer will constitute an event of Dissociation.
Transferor’s Membership Status. If a Member Transfers less than all of such Member’s Membership Interest, the Member’s rights with respect to the transferred Membership Interest, including the right to vote or otherwise participate in the Company’s governance and the right to receive distributions, will terminate as of the effective date of the Transfer. If the Member Transfers all of such Member’s Membership Interest, all of such Member’s rights as a Member under this Agreement shall terminate upon such Transfer. Notwithstanding the foregoing, the Member will remain liable for any obligation with respect to the transferred portion of the Membership Interest that existed prior to the effective date of the Transfer, including any costs or damages resulting from the Member’s breach of this Agreement.
Transferor’s Membership Status. If a Member Transfers less than all of the Membership Interest, the Member's rights with respect to the transferred portion, including the right to vote or otherwise participate in the Company's governance and the right to receive Distributions, will terminate as of the effective date of the Transfer. However, the Member will remain liable for any obligation with respect to the transferred portion that existed prior to the effective date of the Transfer, including any costs or damages resulting from the Member's breach of this Agreement. If the Member Transfers all of the Membership Interest, the Transfer will constitute an event of Dissociation for purposes of Article 3.9.
Transferor’s Membership Status. If a Member Transfers any portion of their Membership Interest, the Member's rights with respect to the transferred portion, including the right to vote or otherwise participate in the Company's governance and the right to receive Distributions, will terminate as of the effective date of the Transfer. However, the Member will remain liable for the Member’s pro-rata share of any debt or obligations of the Company based on the amount/share of the transferred interest that existed prior to the effective date of the Transfer, unless released in writing by the remaining Members. With respect to a Member that is a Qualified Plan, any transfer to other trustees, custodians, administrators, account owners, participants or beneficiaries will not effect the Member’s status within the Company, and thus shall be allowed and there shall be no change in the Member’s rights to voting, profits and losses as they had before any purported transfer.