Common use of Effective Date of Transfers Clause in Contracts

Effective Date of Transfers. For financial and tax reporting purposes, every voluntary sale, assignment or other transfer (as distinguished from the original issuance) of any LLC Interest or portion thereof shall be deemed to have occurred as of the close of business on the day of the month in which such event shall have in fact occurred, and every involuntary sale, assignment or permitted transfer (whether by gift, bequest, inheritance, operation of law or any other method) of any interest of a Member in the LLC shall be deemed to have occurred, and shall have no prior effect, as of the close of business on the day of the calendar month in which the LLC shall have received evidence of such transfer.