Understanding Membership Interest Purchase Agreements
While LTHOME® has long been involved in supplying home building materials for any kind of project, commercial or residential, we also understand that many of our clients are involved in much more than just selecting the right products. When it comes to dealing with home building material suppliers on a major project, it’s important to understand that there are aspects to the endeavor that are legal in nature and could have an impact on the efficiency and productivity of the overall project.
A scenario in which a comprehensive membership interest purchase agreement might come into play is when a builder and a supplier enter into a joint venture or partnership to ensure the most successful outcome for all parties involved. An example of when a membership interest purchase agreement might be needed is when a builder is and has been involved with the construction of a condominium. Home builders who use our services more frequently than others might have a need for such an agreement when they decide that their ownership in a project is going to change. This could happen because they no longer want to function as a primary building partner within a project or, due to financial reasons, they will be replaced by another builder on the project.
When a home builder uses the services of LTHOME®, we want to make sure that when they select us as their home building material supplier, they are making the right decision long-term. This is why we recommend the appropriate agreements be in place at the appropriate time. The need for legal counsel can be essential when entering into a membership interest purchase agreement. It’s important to have someone familiar with and focused on your best interests in a situation so you can avoid problems and complications down the road. Since it’s easy for issues to arise when you’re dealing with money, having an experienced attorney on hand is invaluable.
It’s easy to see how such an agreement could affect financial responsibilities within a large-scale building project. However big or small your construction or renovation project, it’s important that you have a person on hand who can provide the necessary legal guidance to see it through from start to finish. If you have any questions or concerns about membership interest purchase agreements, LTHOME® will be delighted to help you understand the particulars.