Can one business partner on a joint account remove the other partner of the LLC from the account in the LLC's name? Both of us opened it, and he just removed me from one of the accounts.
Whether or not removing your name was legal will depend on the management agreement for the LLC, which details who is authorized to manage deposit accounts for the LLC. Ask the bank what paperwork it received to document the removal of your name. Then review the management agreement for the LLC and see if your business associate's actions were proper. Finally, have a careful conversation with your business associate to determine how you, he and the LLC will move forward.
BankingQuestions.com is a free service made possible by the generous support of our advertisers. Advertisers are not responsible for site content. Please help us keep BankingQuestions.com FREE by supporting our advertisers. When you see an ad for a product or service you may have an interest in, click through to learn more.
Accounts
Article
Q&A
Podcast
Video
Blog
Discussions
PDF
Powerpoint
Whether or not removing your name was legal will depend on the management agreement for the LLC, which details who is authorized to manage deposit accounts for the LLC. Ask the bank what paperwork it received to document the removal of your name. Then review the management agreement for the LLC and see if your business associate's actions were proper. Finally, have a careful conversation with your business associate to determine how you, he and the LLC will move forward.
