On LLC form LLC-12a, what does "The LLC cannot serve as its own manager or member" mean?
By stating an LLC cannot serve as its own manager or member, would that imply that if an LLC is added as a member of another LLC, there must be a name tied to it also?
2 attorney answers
To begin, for a registered California LLC, you should first be filling out the LLC-12 form (statement of information). The LLC-12A form need only be filled out as an attachment if you need to add more managers or members.
As to your question; I would bring you attention to the fact that the LLC-12 and LLC-12A form both provide that "[THE] LLC cannot serve as its own manager or member" and not as you provided above "an LLC cannot serve as its own manager or member." There is a distinction here. That is, you can list a different LLC as the manager or member of this current LLC, but you can not list the current LLC as the manager or member of the current LLC. Simple. As always it's best to have an attorney form your business entity, or at least review your documents to ensure it's done right the first time.
You misread the note on the form as to one crucial word. It states that "The" LLC cannot serve as its own manager or member. Another separate LLC can serve as a member, but the note on the form is simply stating that the LLC cannot be a member of itself.
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