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Va. Code Ann. § 13.1-1041.1

Member's transferable interest subject to charging order

Known as the Virginia Limited Liability Company Act

The act spans §§ 13.1-1000 to 13.1-1099.9 (156 sections).

Applied in 1 court decision — leading case Southern Bank & Trust Co. v. Joshi (2015)

Most recently applied in Southern Bank & Trust Co. v. Joshi (April 2015)

2004, c. 601; 2006, c. 912.

A. On application by a judgment creditor of a member or of a member's assignee, a court having jurisdiction may charge the transferable interest of the judgment debtor to satisfy the judgment. To the extent so charged, the judgment creditor has only the right to receive any distribution or distributions to which the judgment debtor would otherwise have been entitled in respect of the interest.

B. A charging order constitutes a lien on the judgment debtor's transferable interest in the limited liability company.

C. This chapter does not deprive a member or a member's assignee of a right under exemption laws with respect to the judgment debtor's interest in the limited liability company.

D. The entry of a charging order is the exclusive remedy by which a judgment creditor of a member or of a member's assignee may satisfy a judgment out of the judgment debtor's transferable interest in the limited liability company.

E. No creditor of a member or of a member's assignee shall have any right to obtain possession of, or otherwise exercise legal or equitable remedies with respect to, the property of the limited liability company.

Official source: Virginia Law Portal (LIS). Reproduced from public-domain Virginia statutes; confirm against the official source for the current text. Not legal advice.