§ 48-2c-702. Initial members.

(1) In connection with the formation of a company, a person becomes a member of the company upon the earliest to occur of the following:

(a) when the person signs the articles of organization as a member;

(b) when the person signs the operating agreement as a member; or

(c) when:

(i) the person evidences the intent to become a member, either orally, in writing, or by other action such as transferring property or paying money to the company for an interest in the company; and

(ii) the person's admission as a member is reflected in the records of the company or is otherwise acknowledged by the company.

(2) Notwithstanding Subsection (1), a person may not become a member of a company prior to formation of the company.

Amended by Chapter 141, 2005 General Session