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Phone/Audio Streaming 

Monday, February 20, 2017

Program: 2:30-3:30p

Click on the "In Depth" tab for tuition and speaker information.

A charging order is an order to an LLC or partnership to pay any distributions payable to an LLC member or partner instead to his or her creditor until a debt is satisfied.

Charging orders are frequently used when an LLC member or partner has pledged his or her interest to a creditor and is in default of the loan.  

They differ substantially from liens on corporate stock because charging orders do not allow the creditor to foreclose on the LLC or partnership interest, only to claim distributions from the entity.  

The creditor does not succeed to any other rights of the LLC member – voting, management, information – and is totally dependent on the entity to make decide to make distributions.  

This program provides a real-world guide to the uses and limitations of charging orders in transactions and tips on enhancing their effectiveness.  

  • Use and limitations of charging orders in business transactions
  • Differences in rights of a creditor of a corporate shareholder v. the rights of a creditor of a partner/LLC member
  • What does a creditor get with a charging order and what rights does the debtor retain?
  • Tax consequences of charging orders  
  • Recent cases involving charging orders – bankruptcy, asset protection, single-member LLCs
  • Charging orders and the race to the bottom
  • Enforcement of one state’s charging order statute in another state
  • What can be done to enhance effectiveness of charging orders?
Product Information
Date Presented:
February 20, 2017 2:30 PM Eastern
1 hour
NCBA Member Price:
Non-Member Price:
Charging Orders in Business Transactions | Live Replay from August 9, 2016 | Phone/Audio Streaming

Program Information and Tuition:

  • Program time and length: 2:30-3:30p EST (1 hour per program)
  • What is a Phone/Audio Streaming Seminar?
  • Phone/Audio Streaming seminars do not count against the State Bar's six-hour credit limit (per credit year) for computer-based CLE.
  • The instructions and materials are posted under "My Courses". 
  • Passports are not accepted for Phone/Audio Streaming seminars.
  • Co-Sponsored with Webcredenza
NCBA Member $80
Non-Member $80


Speaker Information
Allen Sparkman   [ view bio ]
Individual topic purchase: Selected
NC State Bar
Mandatory Continuing Legal Education (MCLE) and Certified Paralegal Education (CPE) (Total): 1.00
CLE Passport
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