Question

Some states require that a merger involving an LLC have a ____________, rather than the two-thirds majority required of corporations.

1) 51
2) one-third majority vote
3) four-fifths majority vote
4) unanimous approval

Answer 1

A merger involving an LLC in some states requires unanimous approval, rather than the two-thirds majority often required for corporations. For other important decisions, a supermajority such as two-thirds or three-quarters majority may be required.

Step-by-step explanation:

Some states require that a merger involving an LLC have unanimous approval, rather than the two-thirds majority required of corporations. This is different from the most common voting rule which is majority voting, where for a proposal to win, it must receive more than 50 percent of the votes cast.

However, for LLC mergers, the need for unanimous approval means that all voting members must agree for the merger to proceed. This contrasts with supermajority rules, which might require a 60 percent, two-thirds, or even three-quarters majority for certain decisions deemed especially important, such as amending a constitution or changing significant corporate actions.

In some states, mergers involving an LLC require a unanimous approval, rather than the two-thirds majority required for corporations.

Therefore the correct answer is 4) unanimous approval.