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What is a dissolution agreement?

The dissolution clause outlines the steps to be taken if the LLC needs to be dissolved. This includes how the assets will be distributed and what procedures need to be followed. Clearly defining the dissolution process ensures that the business can be shut down orderly and legally if necessary.

What is the dissolution clause of a church?

A dissolution clause is necessary in order to ensure the tax-exempt status of a church, since a church will not be considered entitled to tax-exempt status if any part of its net earnings or assets is payable to or for the benefit of any private individual.

What is a dissolution clause?

Dissolution is the act of bringing an end or termination of a legal relationship between two parties, such as a partnership , contract or marriage .

What is a dissolution of a contract?

A partnership dissolution ends the legal relationship between partners. Dissolution can occur because of disputes between partners, departure of a partner from the firm, business failure, bankruptcy, or retirement. California law outlines five ways a partnership can be dissolved.

dissolution clause sample

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