South Carolina General Assembly
126th Session, 2025-2026
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Indicates Matter Stricken
Indicates New Matter
H. 4659
STATUS INFORMATION
General Bill
Sponsors: Rep. Herbkersman
Document Path: LC-0204HA26.docx
Prefiled in the House on December 16, 2025
Currently residing in the House Committee on Judiciary
HISTORY OF LEGISLATIVE ACTIONS
| Date | Body | Action Description with journal page number |
|---|---|---|
| 12/16/2025 | House | Prefiled |
| 12/16/2025 | House | Referred to Committee on Judiciary |
View the latest legislative information at the website
VERSIONS OF THIS BILL
A bill
TO AMEND THE SOUTH CAROLINA CODE OF LAWS BY AMENDING SECTION 33-44-409, RELATING TO GENERAL STANDARDS OF MEMBERS' AND MANAGERS' CONDUCT, SO AS TO PROVIDE AN EXEMPTION FOR A MEMBER'S DUTY OF LOYALTY TO A MEMBER-MANAGED COMPANY AND ITS MEMBERS UNDER CERTAIN CONDITIONS.
Be it enacted by the General Assembly of the State of South Carolina:
SECTION 1. Section 33-44-409(b)(3) of the S.C. Code is amended to read:
(3) to refrain from competing with the company in the conduct of the company's business before the dissolution of the company. However, this item does not apply when: (a) the company's operating agreement does not contain an enforceable noncompete provision; and (b) the member is also a member of another limited liability company.
SECTION 2. This act takes effect upon approval by the Governor. The provisions of this act are retroactive and apply to any limited liability company that exists on or after the effective date.
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This web page was last updated on December 17, 2025 at 1:18 PM