Business Partner Office Lease Non-Payment

[jvmvsenna]

My question involves business law in the state of: Texas

In June 2011, four friends of mine formed an LLC and each of them signed on for a 3 year office lease agreements. Everyone agreed to split up the cost of the monthly office lease among themselves. This past month, one of the partners just up and moved out of town. He did not pay his share and has been avoiding the other business partners calls and text messages. one of the partners had to pay for his share of the lease. Considering that he avoided their calls and non-payment, they assume not to expect any payment from this individual soon or even in the near future. if this continues until the end of the lease, what are the options available for recovering the payments made on behalf of this individual? should the partners keep a record of his non-payment til the end of the lease? a little help would go a long way.

[jk]

In June 2011, four friends of mine formed an LLC and each of them signed on for a 3 year office lease agreements.

this doesn't make a lot of sense. Did the LLC lease office space or did the individuals lease office space?

If the LLC, your answers are in your LLC rules.

If the latter, was this one lease with multiple lessees? or were there individual leases?

[jvmvsenna]

I'm looking at the bill, it's under the LL C's name. I was shown the lease papers today and all four of them signed it.

[jk]

that still doesn't answer what I am looking for. You typically have a managing member in an LLC that is allowed to conduct business for the LLC. In such cases, you would only have one member signing but it would be as managing member of the LLC.

Did the members sign it as individuals or as a member representing the LLC?