O.C.G.A.

O.C.G.A. § 14-11-505 (2019)

Admission of members

✓ O.C.G.A. — 2019 edition (Public.Resource.Org Release 73)
Code text and O.C.G.A. statutory annotations on this page reflect the 2019 Official Code of Georgia Annotated (Public.Resource.Org Release 73, 2019-08-21; public domain per Georgia v. Public.Resource.Org, 2020). The Syfert case-law annotations in Notes of Decisions, below, are current.
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(a) In connection with the formation of a limited liability company, a person is admitted as a member of the limited liability company upon the later to occur of:

(1) The formation of the limited liability company; or

(2) The time provided in and upon compliance with the articles of organization or a written operating agreement or, if the articles of organization and any written operating agreement do not so provide, when the person’s admission is reflected in the records of the limited liability company.

(b) After the formation of a limited liability company, a person is admitted as a member of the limited liability company at the time provided in and upon compliance with the articles of organization and any written operating agreement or, if the articles of organization or a written operating agreement does not so provide, upon the consent of all members and when the person’s admission is reflected in the records of the limited liability company.

(c) An assignee is admitted as a member of the limited liability company upon compliance with paragraph (1) of Code Section 14-11-503 and at the time provided in and upon compliance with the articles of organization and any written operating agreement or, if the articles of organization or a written operating agreement does not so provide, when any such person’s permitted admission is reflected in the records of the limited liability company; provided, however, that an assignee shall not be admitted as a member of the limited liability company until such assignee has consented to such admission.

(d) A written operating agreement may provide that a person shall be admitted as a member of a limited liability company, or shall become an assignee of a limited liability company interest or other rights or

CORPORATIONS & PARTNERSHIPS powers of a member to the extent assigned, and shall become bound by the operating agreement and the provisions of the articles of organization (A) if such person (or a representative authorized by such person) executes the operating agreement or any other writing evidencing the intent of such person to become a member or assignee, or (B) without such execution, if such person (or a representative authorized by such person) complies with the conditions for becoming a member or assignee as set forth in the written operating agreement or any other writing and such person or representative requests in writing that the records of the limited liability company reflect such admission or assignment.

(e) A person may be admitted to a limited liability company as a member of the limited liability company and may receive a limited liability company interest in the limited liability company without making a contribution or being obligated to make a contribution to the limited liability company. Unless otherwise provided in a written operating agreement, a person may be admitted to a limited liability company as a member of the limited liability company without acquiring a limited liability company interest in the limited liability company. Unless otherwise provided in a written operating agreement, a person may be admitted as the sole member of a limited liability company without making a contribution or being obligated to make a contribution to the limited liability company or without acquiring a limited liability company interest in the limited liability company.

(f ) In the case of a person being admitted as a member of a surviving limited liability company pursuant to a merger in accordance with Article 9 of this chapter, a person is admitted as a member of the limited liability company as provided in the operating agreement of the surviving limited liability company or in the agreement of merger, and in the event of any inconsistency, the terms of the agreement of merger shall control. In connection with the conversion into a limited liability company in accordance with Code Section 14-11-212, a person is admitted as a member of the limited liability company as provided in the limited liability company agreement.

History

(Code 1981, § 14-11-505, enacted by Ga. L. 1993, p. 123, § 1; Ga. L. 2009, p. 108, § 8/HB 308.)

Annotations

Law reviews. - For annual survey on business associations, see 61 Mercer L. Rev. 45 (2009). JUDICIAL DECISIONS Becoming a member. - Articles of Organization contained no provisions regarding the admission of members, and it was undisputed that there was not a written operating agreement in 2005 when the

transfer was made; however, the other members of the limited liability company (LLC) consented to the person’s membership in the LLC, and the person’s interest in the LLC was reflected in the LLC’s

records via the issuance of the stock certificates and also reflected in the stock transfer ledger. Therefore, a valid LLC existed and the person became a member of the LLC when the person made the

$100,000 transfer. Pollitt v. McClelland (In re McClelland), No. 09-9030-WLH, 2011 Bankr. LEXIS 2224 (Bankr. N.D. Ga. June 8, 2011).

Notes of Decisions
Cited in 5 cases (3 in the last 5 years), 2011–2025 · leading case: In Re H & W Food Mart, LLC, 461 B.R. 904 (Bankr. N.D. Ga. 2011).
In Re H & W Food Mart, LLC, 461 B.R. 904 (Bankr. N.D. Ga. 2011). · cites it 2× “share in the profits and losses and to receive the distributions to which the assignor was entitled, to the extent assigned,” but does not “itself dissolve the limited liability company or entitle the assignee to participate in the management and affairs of the limited liability…”
Crumpton v. Vick’s Mobile Homes, LLC Et Al., 779 S.E.2d 136 (Ga. Ct. App. 2015). · cites it 2× “2 We note that the Georgia Limited Liability Company Code defines a “member” as “a person who has been admitted to a limited liability company as a member as provided in Code Section 14-11-505 and who has not ceased to he a member as provided in Code Section 14-11-601 or…”
Premier Pediatric Providers, LLC v. Kennesaw Pediatrics, P.C. (Ga. Ct. App. 2024). · cites it 8× “” OCGA § 14-11-101 (16); see also OCGA § 14-11-505 (b); see also Ridgewalk Holdings, 358 Ga.”
Ridgewalk Holdings, LLC v. Atlanta Apt. Inv. Corp. (Ga. Ct. App. 2021). · cites it 2× “]”17 “As used in [the Georgia Limited Liability Company Act18], unless the context otherwise requires, the term: ‘[m]ember’ means a person who has been admitted to a limited liability company as a member as provided in Code Section 14-11-505 and who has not ceased to be a member…”
Andrew Nemeth Props., LLC v. William A. Panzica (Ind. 2025). “, Ga. Code Ann. § 14-11-505 (b) (“[A] person is admitted as a member of the limited liability company at the time provided in and upon compliance with the articles of organization and any written operating agreement or, if the articles of organization or a Indiana Supreme Court…”
Annotations are extracted automatically from the opinions in the Syfert caselaw corpus and ranked by authority, recency, and treatment. Dots show Syfertize treatment of the citing case itself.