Charging Orders: The Key to Reaching a Judgment Debtor’s LLC Interest
Charging Orders: The Key to Reaching a Judgment Debtor’s LLC Interest (NOTE: This is Part 1 of a 2-part Series. In this Part, we examine the Charging Order itself. Part 2 deals with potentialarguments against a Charging Order.) No one enters into a financial transaction believing that the transaction will fail. If that were the belief, the transaction would never take flight. Unfortunately, oftentimes defaults do happen, and the aggrieved party is forced to embark on an expensive and time-consuming process known as “litigation.” While litigation is only one of the many remedies available to redress these wrongs, it is perhaps the most widely used. The typical lawsuit consists of several phases: the pleading phase, the discovery phase, the dispositive motion phase, the trial phase, and, if judgment is entered in favor of the plaintiff, the post-judgment or collection phase. Though all phases can be expensive and frustrating, the […]
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