Delaware and four other states (Arizona, Colorado, Louisiana, and New Hampshire) have new laws taking effect during the month of August. Please see below for summaries of the laws that will go into effect this month.
ARIZONA
Effective Date: August 6, 2016
Entities Affected: Corporations, LLCs, and Benefit Corporations
Senate Bill 1356, effective August 6, 2016, amends the laws governing corporations, LLCs and benefit corporations regarding, among other things, contents of a foreign corporation’s application for authority; civil liability for false business entity filings; factors directors and officers may take into account; types of corporations that can take public benefit concerns into account; shareholder participation in meetings; and shareholder consent to action without a meeting. View the bill text.
Effective Date: August 8, 2016
Entities Affected: Public Service Corporations
Senate Bill 1309, effective August 8, 2016, allows the Arizona Corporation Commission to accept for filing electronic documents from public service corporations. View the bill text
COLORADO
Effective Date: August 10, 2016
Entities Affected: LLCs
House Bill 1329, effective August 10, 2016, amends the LLC law regarding member contributions, effect of tax status, statute of frauds and operating agreements, and remuneration for services. View the bill text.
Effective Date: August 10, 2016
Entities Affected: All formal entities
House Bill 1330, effective August 10, 2016, allows a statement of correction to be filed to revoke a filed document that was delivered to the Secretary of State in error. View the View the bill text.
DELAWARE
Effective Date: August 1, 2016
Entities Affected: LLCs
House Bill 372, effective August 1, 2016, amends the LLC law regarding service of process; series of members, managers or LLC interests or assets; member cessation upon bankruptcy; voting; LLC interest assignments; dissolution; and revocation of dissolution. View the entire bill on the State website.
Effective Date: August 1, 2016, generally
Entities Affected: Corporations
House Bill 371, generally effective August 1, 2016 except as noted in the Bill, amends the General Corporation Law regarding definitions, Chancery Court jurisdiction, number of directors, director committees, stock certificates, mergers, consolidations, stockholder appraisal rights, revocation of dissolution, and renewal, restoration and revival. View the entire bill on the State website.
Effective Date: August 1, 2016
Entities Affected: Partnerships
House Bill 338, effective August 1, 2016, amends the Partnership Law regarding partner voting. View the entire bill on the State website.
Effective Date: August 1, 2016
Entities Affected: Limited Partnerships
House Bill 367, effective August 1, 2016, amends the LP Law regarding service of process; series of partners; partnership interests or assets; voting; general partner admissions and withdrawals; partnership interest assignments; dissolution; and revocation of dissolution. View the entire bill on the State website.
Effective Date: Effective August 1, 2016
Entities Affected: Statutory Trusts
Senate Bill 243, effective August 1, 2016, amends the statutory trust statute regarding definitions; trust series; management; dissolution; formation and existence; powers of attorney and proxies; document ordering; and inspection of records. View the bill text.
LOUISIANA
Effective Date: August 1, 2016
Entities Affected: LLCs
Senate Bill 220, effective August 1, 2016, amends the LLC law to provide that the articles of organization or a written operating agreement may alter the general rule that a member’s membership ceases upon death, incompetency, dissolution or termination. View the bill text.
Effective Date: August 1, 2016
Entities Affected: Corporations
House Bill 289, effective August 1, 2016, provides that when the existence of a corporation terminates, its juridical personality continues for the purpose of disposing of immovable property pursuant to a resolution of the board of directors. View the bill text.
Effective Date: August 1, 2016
Entities Affected: Corporations
House Bill 714, effective August 1, 2016, amends the corporation law regarding various topics including, but not limited to, exculpation of liability, shareholder participation by remote means; quorum and voting; indemnification; business opportunities; and reinstatement of certain corporations.View the bill text.
NEW HAMPSHIRE
Effective Date: August 9, 2016
Entities Affected: Limited Liability Companies (LLCs)
Senate Bill 405, effective August 9, 2016, amends the LLC law regarding definitions, operating agreements, member voting requirements, allocation of profits and losses, distributions, member dissociations, dissolution, member dissenters' rights and domestication. View the entire bill on the State's website.
We’re here to help! For questions about how these legislative changes may affect you or your clients, or to initiate a service request, contact CLAS at 800.952.5696 or connect@clasinfo.com. Or, simply click on Contact CLAS, a CLAS representative will get back to you shortly.
For informational purposes only; content does not constitute legal advice.