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Alabama · Through Act 2026-611

Ala. Code § 10A-5A-6.01: Member’s Power to Dissociate; Wrongful Dissociation.

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Where this section sits in the code
  1. Title 10A Alabama Business and Nonprofit Entities Code.
  2. Chapter 5A Alabama Limited Liability Company Law of 2014.
  3. Article 6 Member’s Dissociation.

(a) A person has the power to dissociate as a member.

(b) A person’s dissociation from a limited liability company is wrongful only if:

(1) it is in breach of an express provision of the limited liability company agreement;

(2) the person is expelled as a member by judicial determination under Section 10A-5A-6.02(e); or

(3) the person is dissociated by becoming a debtor in bankruptcy or making a general assignment for the benefit of creditors.

(c) A person that wrongfully dissociates as a member is liable to the limited liability company and, subject to Section 10A-5A-9.01, to the other members for damages caused by the dissociation. The liability is in addition to any other debt, obligation, or liability of the member to the limited liability company or the other members.

Collected 2026-09-03T14:01:53Z. Source file · JSON

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