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The Antiguan Advantage and Key Features of the Antigua LLC Legislation
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Antiguan Advantage
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The Antiguan LLC is substantially similar to its domestic counterpart in other jurisdictions. It offers charging order protection and limited liability for every member. In addition, it may have a single member. However, unlike its counterpart in other jurisdictions, there are significant advantages to be gained from the Antiguan LLC. These include the following:

  • Antigua has a default regime like other jurisdictions, but its default provisions are very restrictive thus may enhance any possible valuation discounts for estate planning purposes;

  • Antigua has provision for a succession committee which allows management to be transitioned smoothly between successor managers – this feature is geared toward estate planning in family LLCs in an effort to prepare members of the younger generation to take over management positions when the time comes;

  • The High Court in Antigua and Barbuda has exclusive jurisdiction to adjudicate matters between members and managers, and in cases where a judgment creditor is involved, it also has exclusive jurisdiction to issue charging order protection. Conferring exclusive jurisdiction on the High Court in Antigua provides significant asset protection because judgment creditors and members will be forced to bring their disputes to Antigua. Unfamiliarity with the jurisdiction and the costs required to get such a suit started may have the effect of forcing the parties to resolve their disputes;

  • Antigua has provisions that deal with events of duress. An event of duress occurs where, for example there is a threat of litigation or political instability. If an event of duress occurs an emergency manager may be appointed; if no one is available to serve, the registered agent in Antigua may become the manager.

  • Antigua has provisions allowing for series or cells to be created in the LLC. These series or cells allow the members of the LLC to compartmentalize liability related to certain assets. So for example, risky assets may be placed in separate series, segregated from the rest of the LLC assets and the assets of other cells in the LLC.

  • All the members of the Antiguan LLC are obligated to keep in confidence any information learned during the course of being a member. This duty of confidentiality extends even after the member ceases to be a member of the company.
  • Information about the LLC and its members will only be revealed in limited circumstances and only under the compulsion of an order issued by the courts in Antigua.
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