# Corporations and Associations (GCA)

## Title 4A. Limited Liability Company Act

### Subtitle 6. Membership

#### Section 4A-603

(a) Unless otherwise agreed:

  (1) Only an economic interest in a limited liability company may be assigned; and

  (2) An economic interest is wholly or partly assignable.

(b) An assignment of an economic interest in a limited liability company does not:

  (1) Dissolve the limited liability company; or

  (2) Entitle the assignee to:

    (i) Become a member; or

    (ii) Exercise any rights of a member, including the noneconomic interest of the assignor.

(c) If an assignee of an economic interest in a limited liability company becomes a member of the limited liability company, the assignor is not released from the assignor's liability under Sec. 4A-502 of this title to the limited liability company.

(d) Unless otherwise agreed, on assignment of all of a member's economic interest in a limited liability company, the member ceases to be a member of the limited liability company and forfeits the member's noneconomic interest in the limited liability company.

(e) The pledge or grant of a security interest, lien, or other encumbrance in or against all or a part of the economic interest of a member does not cause the member to cease to be a member or affect the member's noneconomic interest in the limited liability company.

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Md. Code Ann., Corps. & Ass'ns (as displayed at mgaleg.maryland.gov, October 16, 2026)