Dissolution of limited liability companies-remedies.

Plain English Breakdown

The effective date mentioned in the candidate explanation is incorrect as the bill did not pass.

Rules for Dissolving Limited Liability Companies

The bill sets rules about when a limited liability company can be dissolved and what happens if someone tries to dissolve it unfairly.

What This Bill Does

• Adds new rules that say if someone tries to end a limited liability company without good reason, they might have to pay money for the costs of stopping them.
• Says that courts can decide who has to pay legal fees and other costs when there's an unfair attempt to dissolve a company.

Who It Names or Affects

• Limited liability companies in Wyoming
• People or groups trying to end limited liability companies

Terms To Know

Dissolution

The process of ending a company and dealing with its remaining assets.

Bad faith

When someone acts dishonestly or unfairly, not for the right reasons.

Limits and Unknowns

• It is unclear how often these new rules will be used.
• The bill did not pass and was not considered further in this session.

Current Bill Text

26LSO-0424
2026
STATE OF WYOMING
26LSO-0424
Numbered
2.0

HOUSE BILL NO. HB0152

Dissolution of limited liability companies-remedies.

Sponsored by: Representative(s) Strock, Davis and Johnson

A BILL

for

AN ACT relating to limited liability companies; providing attorneys’ fees and costs for bad faith applications for dissolution; and providing for an effective date.

Be It Enacted by the Legislature of the State of Wyoming:

Section 1
.

W.S. 17
‑
29
‑
701 by creating a new subsection (c) is amended to read:

17
‑
29
‑
701.

Events causing dissolution.

(c)

In a proceeding brought under paragraph (a)(v) of this section, if the court denies the application and finds that it was made in bad faith, including that the applicant caused or created the facts and circumstances alleged as grounds for dissolution, the court may award damages including reasonable attorneys' fees and costs to the limited liability company or any party defending against the dissolution proceeding.

Section 2.

This act shall apply to proceedings brought under W.S. 17
‑
29
‑
701(a)(v) on or after July 1, 2026.

Section 3
.

This act is effective July 1, 2026
.

(END)

1
HB0152