The bill amends the Kansas Revised Limited Liability Company Act to modernize and clarify provisions related to limited liability companies (LLCs). Key updates include the allowance for electronic documentation, signatures, and transmissions, which aim to enhance business efficiency. The bill establishes that subscriptions for LLC interests are irrevocable under certain conditions and modifies requirements for domestic LLC divisions, mergers, and consolidations. It also permits LLCs to consolidate operations for tax purposes and allows operating agreements to impose specific restrictions on members. Additionally, the bill voids any wrongful transfer of property intended to defraud creditors and updates definitions and requirements for various documents under the Act.

Further amendments clarify the governance and operational procedures for LLCs, including the rights and responsibilities of managers and members. The bill allows for the creation of classes of members with varying rights and streamlines voting processes, including actions without formal meetings. It enhances members' rights to access information while maintaining confidentiality for sensitive data. The bill also introduces provisions for statutory public benefit LLCs, requiring them to state their public benefit goals and provide annual statements on their progress. Overall, these changes aim to improve the operational flexibility, legal clarity, and accountability of LLCs in Kansas.

Statutes affected:
As introduced: 17-7662, 17-7663, 17-7668, 17-7670, 17-7681, 17-7682, 17-7685a, 17-7686, 17-7687, 17-7690, 17-7695, 17-7698, 17-76, 17-7506, 17-78, 17-7904, 17-7925, 17-7927, 17-7929
As Amended by House Committee: 17-7662, 17-7663, 17-7668, 17-7670, 17-7681, 17-7682, 17-7685a, 17-7686, 17-7687, 17-7690, 17-7695, 17-7698, 17-76, 17-7506, 33-102, 17-78, 17-7904, 17-7925, 17-7927, 17-7929
As Amended by Senate Committee: 17-7662, 17-7663, 17-7668, 17-7670, 17-7681, 17-7682, 17-7685a, 17-7686, 17-7687, 17-7690, 17-7695, 17-7698, 17-76, 17-7506, 33-102, 17-78, 17-7904, 17-7925, 17-7927, 17-7929
Enrolled: 17-7662, 17-7663, 17-7668, 17-7670, 17-7681, 17-7682, 17-7685a, 17-7686, 17-7687, 17-7690, 17-7695, 17-7698, 17-76, 17-7506, 33-102, 17-78, 17-7904, 17-7925, 17-7927, 17-7929