When an exchange becomes effective, the membership interests in a limited liability company to be exchanged under the terms of the plan are considered to be exchanged. The members owning those membership interests are entitled only to the ownership interests, securities, money, or other property into which those membership interests have been converted or for which those membership interests have been exchanged according to the plan.
N.D. Cent. Code § 10-32.1-60
Effect of an exchange
Known as the North Dakota Uniform Limited Liability Company Act
The act spans §§ 10-32.1-01 to 10-32.1-99 (103 sections).
Official source: North Dakota Legislative Branch. Reproduced from public-domain North Dakota statutes; confirm against the official source for the current text. Not legal advice.