(a) A member's obligation to make a contribution to a limited liability company, or a series thereof, is not excused by the member's death, disability, or other inability to perform personally. If a member does not make a contribution required by an enforceable promise, the member or the member's estate is obligated, at the election of the limited liability company, or series thereof, to contribute money equal to the value of the portion of the contribution that has not been made. The foregoing election shall be in addition to, and not in lieu of, any other rights, including the right to specific performance, that the limited liability company, or series thereof, may have under the limited liability company agreement or applicable law.
(b)(1) The obligation of a member to make a contribution to a limited liability company may be compromised only by consent of all the members. A conditional obligation of a member to make a contribution to a limited liability company may not be enforced unless the conditions of the obligation have been satisfied or waived as to or by that member. Conditional obligations include contributions payable upon a discretionary call of a limited liability company before the time the call occurs.
(2) The obligation of a member associated with a series to make a contribution to the series may be compromised only by consent of all the members associated with that series. A conditional obligation of a member to make a contribution to a series may not be enforced unless the conditions of the obligation have been satisfied or waived as to or by that member. Conditional obligations include contributions payable upon a discretionary call of that series before the time the call occurs.
(3) Subsection (b)(1) shall not apply to a member's obligation to make a contribution to a series of a limited liability company.
(c) A promise by a member to make a contribution to a limited liability company, or a series thereof, is not enforceable unless set forth in a writing signed by the member.
Structure Code of Alabama
Title 10A - Alabama Business and Nonprofit Entities Code.
Chapter 5A - Alabama Limited Liability Company Law of 2014.
Article 4 - Relations of Members to Each Other and to the Limited Liability Company.
Section 10A-5A-4.01 - Admission of Members.
Section 10A-5A-4.02 - Limited Liability Company Property.
Section 10A-5A-4.03 - Contribution.
Section 10A-5A-4.04 - Liability for Contribution.
Section 10A-5A-4.05 - Sharing of and Right to Distributions Before Dissolution.
Section 10A-5A-4.06 - Limitation on Distributions and Liability for Improper Distributions.
Section 10A-5A-4.07 - Direction and Oversight of the Limited Liability Company.
Section 10A-5A-4.08 - Duties of Persons With Direction and Oversight.
Section 10A-5A-4.09 - Records to Be Kept; Right of Members and Dissociated Members to Information.
Section 10A-5A-4.10 - Indemnification, Advancement, Reimbursement, and Insurance.