Mich. Comp. Laws » Michigan Compiled Laws / Chapter 450 / Act 23 of 1993
Michigan Compiled Laws

Mich. Comp. Laws § 450.4216 (2026)

Limited liability company; powers.

✓ current as of July 2026
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MICHIGAN LIMITED LIABILITY COMPANY ACT


Act 23 of 1993


450.4216 Limited liability company; powers.

Sec. 216.

    Except as otherwise provided in an operating agreement, a limited liability company may do any of the following:

    (a) Indemnify, hold harmless, and defend a member, manager, or other person from and against any and all losses, expenses, claims, and demands sustained by that person, except that the company may not indemnify a person for conduct described in section 407(a), (b), or (c).

    (b) Purchase and maintain insurance on behalf of a member, manager, or other person against any liability or expense asserted against or incurred by that person, whether or not the company may indemnify that person under subdivision (a).

History: Add. 2010, Act 290, Imd. Eff. Dec. 16, 2010

Notes of Decisions
Cited in 2 cases (2 in the last 5 years), 2021–2025 · leading case: Select Distributors, LLC v. Breeze Smoke, LLC (E.D. Mich. 2021).
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Select Distributors, LLC v. Breeze Smoke, LLC (E.D. Mich. 2021). · cites it 2× “4216, Plaintiffs argue that Plaintiff Kestou’s status as sole member of the corporate Debtor entities somehow absolves him of “individual[] responsib[ility] for any potential liability in this action” and entitles him to “indemnification and defense by the Debtor entities.”
Lynne S Simon v. Sanford a Simon (Mich. Ct. App. 2025). “1564a to argue that a board vote was required overlooks the binding effect of a corporation’s bylaws, which can override statutory default requirements, such as voting requirements.”
— Mich. Comp. Laws § 450.4216(a) — 1 case
Lynne S Simon v. Sanford a Simon (Mich. Ct. App. 2025). “1564a to argue that a board vote was required overlooks the binding effect of a corporation’s bylaws, which can override statutory default requirements, such as voting requirements.”
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