Compulsory Redemptions. (a) The Company may also compulsorily redeem all or part of a Class A Member’s Interests at any time and for any reason in the sole discretion of the Managing Member upon thirty (30) days written notice to the Class A Member at a price equal to the Class A Member’s capital contribution plus any accrued but unpaid Preferred Return and other income which is owed to the Class A Member on the date of redemption. In addition, the Managing Member may immediately expel a Class A Member for cause if (i) the Class A Member has materially breached or is unable to perform the Class A Member’s material obligations under this Agreement, (ii) a proceeding is commenced or threated against the Company arising out of a Class A Member’s investment in the Company, or (iii) such ownership has resulted in an adverse effect. A Class A Member’s expulsion from the Company will be effective upon the Class A Member’s receipt of written notice of the expulsion by the Company.
Appears in 3 contracts
Samples: Limited Liability Company Operating Agreement (Secured Real Estate Income Strategies, LLC), Limited Liability Company Operating Agreement (Secured Real Estate Income Fund II, LLC), Limited Liability Company Operating Agreement (Secured Real Estate Income Fund II, LLC)
Compulsory Redemptions. (a) The Company may also compulsorily redeem all or part of a Class A Member’s 's Interests at any time and for any reason in the sole discretion of the Managing Member upon thirty (30) days written notice to the Class A Member at a price equal to the Class A Member’s 's capital contribution plus any accrued but unpaid Preferred Return and other income which is owed to the Class A Member on the date of redemption. In addition, the Managing Member may immediately expel a Class A Member for cause if (i) the Class A Member has materially breached or is unable to perform the Class A Member’s 's material obligations under this Agreement, (ii) a proceeding is commenced or threated against the Company arising out of a Class A Member’s 's investment in the Company, or (iii) such ownership has resulted in an adverse effect. A Class A Member’s 's expulsion from the Company will be effective upon the Class A Member’s 's receipt of written notice of the expulsion by the Company.
Appears in 1 contract
Samples: Limited Liability Company Operating Agreement (Secured Real Estate Income Fund II, LLC)
