Common use of Optional Adjustment to Basis of Fund Property Clause in Contracts

Optional Adjustment to Basis of Fund Property. In the event of the transfer of the interest of a Member in the Fund during the life of the Member or upon the death of the Member, the Board may, at its sole discretion, make an election on behalf of the Fund as provided in Section 754 of the Code (if such an election is not already in effect for the Fund) and cause the Fund to make the adjustments to the basis of the property of the Fund (with regard to the transferee Member only) as provided in Section 754 of the Code.

Optional Adjustment to Basis of Fund Property. In the event of the transfer of the interest of a Member in the Fund during the life of the Member or upon the death of the Member, the Board Management Committee may, at its sole discretion, make an election on behalf of the Fund as provided in Section 754 of the Code (if such an election is not already in effect for the Fund) and cause the Fund to make the adjustments to the basis of the property of the Fund (with regard to the transferee Member only) as provided in Section 754 of the Internal Revenue Code.