What are my rights if I wasan LLC member and am now unemployed?

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What are my rights if I wasan LLC member and am now unemployed?

My brother asked me to help him with his Montana business and he made me an LLC member. I didn’t put in any money into the business but worked there for 4 years and have now left the state. I worked 15+ hours a day, made $1500 a month, and lived in an apartment at the motel (as I worked the night shift, from 3 pm to 6 am). For the last 4 months, I worked 7 days a week. I think he made me an LLC member to save money and for tax reasons. Now that I left, he says I resigned my LLC memebrship. However, I signed nothing. By law, does he owe me anything in the way of money? I cannot find a job now.

Asked on October 10, 2010 under Business Law, Oregon

Answers:

M.T.G., Member, New York Bar / FreeAdvice Contributing Attorney

Answered 11 years ago | Contributor

Listen, your brother can not have it both ways and neither can you for purposes of pursuing a claim here.  You need to see a employment attorney right away to decide your stance.  Are you an employee only with rights to file for unemployment (you did not give the reasons for leaving or state if you were fired) or a part of the LLC that would entitle you to a potion of the business upon leaving.  I don't know what you mean by an LLC "member."  Were you a partner, but you say you sined nothing.  Do you have any paperwork as to anything in the business?  Was the agreement to work verbal?  Seek help here.  Good luck.


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