SB 165: "An Act relating to the remedies available to judgment creditors against limited liability company members and their assignees and against limited partnership general and limited partners and their assignees; and providing for an effective date."
00SENATE BILL NO. 165 01 "An Act relating to the remedies available to judgment creditors against limited 02 liability company members and their assignees and against limited partnership 03 general and limited partners and their assignees; and providing for an effective 04 date." 05 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 06 * Section 1. AS 10.50.380 is amended by adding new subsections to read: 07 (c) This section provides the exclusive remedy that a judgment creditor of a 08 member or a member's assignee may use to satisfy a judgment out of the judgment 09 debtor's interest in the limited liability company. Other remedies, including 10 foreclosure on the member's limited liability company interest and a court order for 11 directions, accounts, and inquiries that the debtor member might have made, are not 12 available to the judgment creditor attempting to satisfy a judgment out of the judgment 13 debtor's interest in the limited liability company and may not be ordered by a court. 14 (d) This section does not deprive a member of the benefit of an exemption
01 applicable to the member's membership interest. 02 * Sec. 2. AS 32.11.170(b) is amended to read: 03 (b) Except as provided in this chapter, a general partner of a limited 04 partnership has the liabilities of a partner in a partnership without limited partners to 05 persons other than the partnership and the other partners. Except as provided in this 06 chapter or in the partnership agreement, a general partner of a limited partnership has 07 the liabilities of a partner in a partnership without limited partners to the partnership 08 and to the other partners. The rights of a creditor with respect to a general 09 partner's interest in a limited partnership are subject to AS 32.11.340. 10 * Sec. 3. AS 32.11.340 is amended by adding a new subsection to read: 11 (b) This section provides the exclusive remedy that a judgment creditor of a 12 general or limited partner or of the general or limited partner's assignee may use to 13 satisfy a judgment out of the judgment debtor's interest in the partnership. Other 14 remedies, including foreclosure on the general or limited partner's partnership interest 15 and a court order for directions, accounts, and inquiries that the debtor general or 16 limited partner might have made, are not available to the judgment creditor attempting 17 to satisfy the judgment out of the judgment debtor's interest in the limited partnership 18 and may not be ordered by a court. 19 * Sec. 4. APPLICABILITY. This Act does not apply to the remedies available to a 20 judgment creditor for collecting a judgment entered by a court before the effective date of this 21 Act. 22 * Sec. 5. This Act takes effect immediately under AS 01.10.070(c).