1. (a) A member is not a co-owner of, and has no transferable interest in, property of a limited liability company.
2. (b) A distributional interest in a limited liability company is personal property and, subject to sections 428-502 and 428-503, may be transferred in whole or in part.
3. (c) An operating agreement may provide that a distributional interest may be evidenced by a certificate of the interest issued by the limited liability company and, subject to section 428-503, may also provide for the transfer of any interest represented by the certificate.

[L 1996, c 92, pt of §1]

Case Notes

Where plaintiff was not an owner of the Haina Mill property nor was plaintiff an owner of any other property or assets of the limited liability companies, plaintiff lacked standing to pursue certain amended counts because each claim sought to recover losses by, or other damages to, the limited liability companies, and the claims did not assert that plaintiff, as an individual, suffered an injury in fact as a result of defendants' allegedly wrongful actions. Whether further amendment of certain counts would still be futile even after plaintiff added allegations regarding harm to plaintiff's distributional interests, discussed. 23 F. Supp. 3d 1152 (2014).