Distribution of Assets Upon Dissolution

(a)In settling accounts after dissolution, the liabilities of the limited liability company shall be entitled to payment in the following order:

(1)Those liabilities to creditors, in the order of priority as provided by law, except those liabilities to members of the limited liability company on account of their contributions; COL6/24/2021 CH. 15 LIMITED LIABILITY COMPANIES

(2)Those liabilities to members of the limited liability company in respect of their shares of the profits and other compensation by way of income on their contributions; and

(3)Those liabilities to members of the limited liability company in respect of their contributions to capital.

(b)Subject to any statement in the regulations, members shall share in the limited liability company assets in respect to their claims for capital and in respect to their claims for profits or for compensation by way of income on their contributions, respectively, in proportion to the respective amounts of the claims.