Charging a Debtor’s Interest in a Business Entity: An Examination of the Differences Between Limited Liability Companies and Partnerships

by David S. Brown, Esq.   A charging order is the exclusive remedy by which a judgment creditor can attach a debtor’s membership interest in a limited liability company, or a debtor’s economic interest in a partnership.[1]  Unfortunately, vastly different rules apply to charging orders depending on the type of entity that the debtor holds…