Tex.
Bus. Orgs. Code Section 11.056
Supplemental Provisions for Limited Liability Company
(a)
The termination of the continued membership of the last remaining member of a domestic limited liability company is an event requiring winding up under Section 11.051 (Event Requiring Winding up of Domestic Entity)(4) unless, not later than one year after the date of the termination or within the period of time provided by the company agreement:(1)
the legal representative or successor of the last remaining member agrees:(A)
to continue the company; and(B)
to become a member of the company effective as of the date of the termination or to designate another person who agrees to become a member of the company effective as of the date of the termination; or(2)
a member is admitted to the company in the manner provided by the company agreement, effective as of the occurrence of the termination, under a provision of the company agreement that specifically provides for the admission of a member to the company after there is no longer a remaining member of the company.(b)
The event requiring winding up specified in Subsection (a) may be canceled in accordance with Sections 11.152 (Continuation of Business Without Winding up)(a) and 101.552 (Approval of Voluntary Winding Up, Revocation, Cancellation, or Reinstatement)(c).(c)
The company agreement may provide that the legal representative or successor of the last remaining member is obligated to agree to continue the company and to the admission of the legal representative or successor, or the representative’s or successor’s nominee or designee, as a member effective as of the occurrence of the event that terminates the continued membership of the last remaining member.
Source:
Section 11.056 — Supplemental Provisions for Limited Liability Company, https://statutes.capitol.texas.gov/Docs/BO/htm/BO.11.htm#11.056 (accessed Jun. 5, 2024).
