On April 10, 2018, Arizona Governor Ducey signed Senate Bill 1353, a law that will entirely replace existing Arizona limited liability company law with a new LLC law. Arizona’s new LLC law called the “Arizona Limited Liability Company Act” (ALLCA) is effective September 1, 2019, for Arizona LLCs created after August 31, 2019. All Arizona LLCs created before September 1, 2020, will become subject to the ALLCA from and after August 31, 2020.
In the coming months I will be adding a lot of articles, blog posts and videos on our Youtube channel about the new law and its affect on members and managers of Arizona LLCs. Here are some important facts about Arizona’s new LLC law:
- The new ALLCA will govern all 800,000+ Arizona LLCs that exist after August 31, 2020.
- Beginning September 1, 2020, all Arizona court cases that deal with Arizona’s current LLC law will be effectively eliminated.
- Beginning September 1, 2020, Operating Agreements drafted for current LLC law will become obsolete and all Arizona LLCs will need an Operating Agreement drafted pursuant to the new ALLCA.
- All Arizona LLCs created after August 31, 2019, will need an ALLCA compliant Operating Agreement.
- All of the LLCs we form after May 31, 2018, will have an ALLCA compliant Operating Agreement.
- Starting June 1, 2018, we will sell ALLCA compliant Operating Agreements to existing Arizona LLCs. If you have an existing Arizona LLC you should join the free ALLCA newsletter email list offered below to get information about when and how to purchase a new ALLCA compliant Operating Agreement for your Arizona LLC.
- An ALLCA compliant Operating Agreement will be critically important for all multi-member LLCs because a good Operating Agreement will eliminate many of the bad liability creating provisions in the new Arizona LLC law. Join my ALLCA newsletter list to learn about the liability creating provisions contained in the new ALLCA.
Join Our Free ALLCA Newsletter Email List
We will be sending informational emails about Arizona’s new LLC law to people who subscribe to our free ALLCA email list. If you want to learn more about Arizona’s new LLC law join our ALLCA email list by completing and submitting the sign up form below. After submitting the form below you will get an email asking you to opt in unless you previously opted in.
Text of Senate Bill 1353
The complete text of Arizona Senate Bill 1353, aka the Arizona Limited Liability Company Act, that applies to new Arizona LLCs after August 31, 2019, and all Arizona LLCs after August 31, 2020, is contained in the pdf below.sb-1353