In Many States,an Operating Agreement Is Not Required for a Limited

question 9

True/False

In many states,an operating agreement is not required for a limited liability company to exist.

---

Definitions:

Corporate Charter

A legal document issued by a government, outlining a corporation's rights, privileges, and purpose.

Issued Stock

Shares of a company that have been allocated and distributed to shareholders.

Preemptive Right

This is a shareholder's right to buy new shares in proportion to their current holdings before the shares are offered to the public, helping to maintain their ownership percentage.

Par Value

The nominal or face value of a bond, share of stock, or other financial instrument, as stated by the issuing company.