Common use of Nonliquidating Distributions Clause in Contracts

Nonliquidating Distributions. The Members may, in their discretion, make distributions to the Members from time to time. Such action shall be authorized by the affirmative vote or consent of all of the Members. Distributions may be made only after the Members determine that the Company has cash on hand exceeding the Company’s current and anticipated needs (including operating expenses, debt service, capital expenditures, and establishment of reserves) that shall not be retained to pursue any existing, potential, or future business or investment opportunities. All distributions shall be made to the Members in accordance with their proportionate ownership of the Shares. Distributions shall be in cash or property, or both, as the Members may determine. No distribution shall be declared or made if, after giving it effect, the Company would not be able to pay its debts as they become due in the usual course of business or if the Company’s total assets would be less than the sum of its total liabilities. Subject to the foregoing limitations and qualifications, the Members shall endeavor to make distributions to the Members at the times and in the amounts sufficient to allow the Members to pay their share of income tax due on the operations of the Company.

Nonliquidating Distributions. The Members Partners may, in their discretion, make distributions to the Members Partners from time to time. Such action shall will be authorized by the affirmative vote or consent of all of the MembersPartners. Distributions may be made only after the Members Partners determine that the Company has cash on hand exceeding the Company’s current and anticipated needs (including operating expenses, debt service, capital expenditures, and establishment of reserves) that shall will not be retained to pursue any existing, potential, or future business or investment opportunities. All distributions shall will be made to the Members Partners in accordance with their proportionate ownership of the Shares. Distributions shall will be in cash or property, or both, as the Members Partners may determine. No distribution shall will be declared or made if, after giving it effect, the Company would not be able to pay its debts as they become due in the usual course of business or if the Company’s total assets would be less than the sum of its total liabilities. Subject to the foregoing limitations and qualifications, the Members shall Partners will endeavor to make distributions to the Members Partners at the times and in the amounts sufficient to allow the Members Partners to pay their share of income tax due on the operations of the Company.