A Kansas limited liability company operating agreement is a contract that should be set in place when the company initially organizes. Naturally, forming an entity is often exciting for business owners or partners. Even so, a reasonable amount of documentation should accompany their efforts; otherwise, they risk a vulnerability to miscommunication regarding the policies of the LLC and the powers of the individual members.
Such a written contract enables the Kansas members to keep track of their original agreement as well as properly amend it so long as the signature members follow the appropriate procedure. After all, since the State of Kansas shall treat and enforce a signed operating agreement as a binding contract, it should always be kept up-to-date.
Is it Required in Kansas?
No. Kansas does not obligate organizers to form an LLC with an operating agreement in place.
Single-member LLC operating agreement -When a limited liability company has only one (1) member.
Multi-member LLC operating agreement -When a limited liability company has two (2) or more members.
(k) “‘Operating agreement’ means any agreement, whether referred to as an operating agreement, limited liability company agreement or otherwise, written, oral, or implied, of the member or members as to the affairs of a limited liability company and the conduct of its business. A member or manager of a limited liability company or an assignee of a limited liability company interest is bound by the operating agreement whether or not the member or manager or assignee executes the operating agreement. A limited liability company is not required to execute its operating agreement. A limited liability company is bound by its operating agreement whether or not the limited liability company executes the operating agreement. An operating agreement of a limited liability company having only one member shall not be unenforceable by reason of there being only one person who is a party to the operating agreement. An operating agreement is not subject to any statute of frauds, including K.S.A. 33-106, and amendments thereto. An operating agreement may provide rights to any person, including a person who is not a party to the operating agreement, to the extent set forth therein.”