Hunter Three Farms, LLC v. Richard Hunter

Summary

The court held that the LLC had standing and authority to sue Richard to recover settlement proceeds allegedly owed to the LLC. Standing existed because the LLC asserted a legal interest in the funds and an injury from their alleged misappropriation, while authority was governed by the default rules for member-managed LLCs because no operating agreement applied. A majority of the voting members could authorize the action because collecting funds allegedly owed to the LLC was within the ordinary course of its activities.