Kansas Court of Appeals Rules on Indemnification for LLC Member

LLC Law Monitor has a story about Davis v. Winning Streak Sports, LLC, 2013 WL 1010622 (Kan. Ct. App.), which addresses and applies a Kansas statute requiring indemnification of an LLC member or manager litigating to enforce his or her rights under the Kansas LLC Act or the operating agreement. 

As the piece notes, Section 17-7670(b) of the Kansas Limited Liability Company Act is particularly noteworthy because it establishes indemnification as the default position, and allows LLCs to amend indemnification rights in their operating agreement.  By contrast, most other LLC statutes, including the Delaware Limited Liability Company Act, contain permissive provisions allowing LLCs to establish indemnification rights.  See, e.g., 6 Del. C. § 18-108.