Amends South Carolina law to exempt members of a member-managed company from a duty of loyalty under certain conditions.
This bill amends South Carolina law to modify the duty of loyalty for members of a member-managed company. Specifically, it exempts members from refraining from competing with the company if the company's operating agreement lacks an enforceable noncompete provision and if the member is also a member of another limited liability company. The changes apply retroactively to any limited liability company existing on or after the bill's effective date.
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