California adopted a terrible new LLC law that becomes effective on January 1, 2014. California’s new LLC law appears to say that LLCs formed outside California that register to do business in California will be subject to the new California limited liability company law. Section 17713.04(a) of the new LLC law provides that, except as otherwise provided in the law, the new LLC law applies to all California formed LLCs existing on or after January 1, 2014, but also to all foreign LLCs registered with the Secretary of State before January 1, 2014, and after December 31, 2013.
California is the state that has the highest annual maintenance fee on LLCs – $800/year minimum.
For more on this topic see “Potential Challenges Associated With California’s Revised Uniform Limited Liability Company Act.”
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