An Examination of the Charging Order Under Kentucky’s LLC and Partnership Acts

This Online Original is available for download (PDF) here (part 1) and here (part 2).

Article | 99 KY. L. J. ONLINE 5 | Nov. 3, 2011

Thomas E. Rutledge & Sarah Sloan Wilson

The rise of the LLC and the recent modernizations of partnership law have contributed to the greater use of charging orders. In addition, the recent economic downturn and the need to collect on judgments have prompted a flurry of interest in charging orders. Consequently, attorneys advising creditors or debtors, as well as the courts issuing and implementing charging orders, need to understand this chimerical remedy. Part I of this Article focuses on state-law issues incident to the charging order, while Part II is devoted to the charging order in other areas of law such as taxation, bankruptcy, and conflicts. In the first section of Part I, the authors state the law of charging orders generally. The second section discusses the reach of the charging order, including the rule of exclusivity and the existence of exemption laws. Finally, section three reviews the implications of the charging order procedure for the parties involved, as well as the company itself.

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An Examination of the Charging Order Under Kentucky’s LLC and Partnership Acts (pt. I) An Examination of the Charging Order Under Kentucky's LLC and Partnership Acts (pt. II)

Citation

Thomas E. Rutledge & Sarah Sloan Wilson, An Examination of the Charging Order Under Kentucky’s LLC and Partnership Acts (pt. I), 99 Ky.L.J. Online 85, http://kentuckylawjournal.org/online-originals-2/charging-orders/. Thomas E. Rutledge & Sarah Sloan Wilson, An Examination of the Charging Order Under Kentucky's LLC and Partnership Acts (pt. II), 99 Ky.L.J. Online 107, http://kentuckylawjournal.org/online-originals-2/charging-orders/.

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http://kentuckylawjournal.org/online-originals-2/charging-orders/