By Adrienne B. Koch (August 28, 2018, 1:57 PM EDT) -- The limited liability company is an increasingly dominant form of business organization, preferred in many instances for the flexibility it offers in (among other things) limiting or modifying the duties managers owe to nonmanaging members. Many LLCs are formed in Delaware because of that state's well-developed and business-friendly law in this area. But a recent decision of the Delaware Chancery Court in a case called Wenske v. Blue Bell Creameries Inc.[1] highlights the level of care with which a limited liability company's governing agreement must be drafted in order to maximize these ostensible advantages. In particular, it calls attention to how gaps and oversights in such agreements may expose managers to liability from which they may have believed they were shielded....
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