Common use of Series Distribution General Principles Clause in Contracts

Series Distribution General Principles. (a) Although the Series do not intend to make Distributions in-kind, the Manager may, in its sole discretion, cause a Series to make Distributions of property of such Series in-kind pursuant to Section 7.9. (b) A Series is authorized to withhold from Distributions and any other payments such amounts as it is required by any applicable governmental rule, regulation, or law to withhold, including without limitation for purposes of satisfying such Series’ obligations under the Code. All amounts withheld pursuant to this Section 7.10(b) shall be treated as amounts paid or distributed, as the case may be, to the Series Members with respect to which the amount was withheld. (c) Notwithstanding anything to the contrary contained herein, a Series shall not make a Distribution to any Series Member on account of its Series Shares if the Distribution would violate the Act or other applicable law.