S.C. Code Ann. § 33-43-605 – [Repealed eff January 1, 2001] Liability upon wrongful distribution | Midpage
§ 33-43-605
S.C. Code Ann. § 33-43-605
[Repealed eff January 1, 2001] Liability upon wrongful distribution
(A) A member or manager who votes for or assents to a distribution in violation of an operating agreement or Section 33-43-604 is personally liable to the limited liability company for the amount of the distribution that exceeds the amount that could have been distributed without violating Section 33-43-604 or an operating agreement if it is established that such member or manager did not comply with Section 33-43-604 or the operating agreement and in so voting or assenting violated the standards imposed by Section 33-43-402.
(B) Each member or manager held liable under subsection (A) for a wrongful distribution is entitled to contribution:
(1) from each other member or manager who could be held liable under subsection (A) for the wrongful distribution; and
(2) from each member for the amount the member received in violation of Section 33-43-604 or an operating agreement.
(C) A proceeding under this section is barred unless it is commenced within two years after the date on which the effect of the distribution is measured under Section 33-43-604.