Illinois General Assembly - Illinois Compiled Statutes

Updating the database of the Illinois Compiled Statutes (ILCS) is an ongoing process. Recent laws may not yet be included in the ILCS database, but they are found on this site as Public Acts soon after they become law. For information concerning the relationship between statutes and Public Acts, refer to the Guide.

Because the statute database is maintained primarily for legislative drafting purposes, statutory changes are sometimes included in the statute database before they take effect. If the source note at the end of a Section of the statutes includes a Public Act that has not yet taken effect, the version of the law that is currently in effect may have already been removed from the database and you should refer to that Public Act to see the changes made to the current law.

805 ILCS 180/15-7

(805 ILCS 180/15-7)

Sec. 15-7. Member and manager's right to reimbursement and indemnification.

(a) A limited liability company shall reimburse a member or manager for
payments made and indemnify a member or manager for debts, obligations, or other liabilities
incurred by the member or manager in the course of the member's or manager's activities on behalf of the company, if, in making the payment or incurring the debt, obligation, or other liability, the member or manager complied with the duties stated in Sections 15-3 and 25-35.

(b) A limited liability company shall reimburse a member for an advance to
the company beyond the amount of contribution the member agreed to make.

(c) A payment or advance made by a member that gives rise to an obligation
of a limited liability company under subsection (a) or (b) of this Section
constitutes a
loan to the company upon which interest accrues from the date of the payment or
advance.

(d) A member is not entitled to remuneration for services performed for a
limited liability company, except for reasonable compensation for services
rendered in winding up the business of the company.

(e)   A limited liability company may purchase and maintain insurance on behalf of a member or manager of the company against liability asserted against or incurred by the member or manager in that capacity or arising from that status even if, under subsection (e) of Section 15-5, the operating agreement could not eliminate or limit the person's liability to the company for the conduct giving rise to the liability.

(Source: P.A. 99-637, eff. 7-1-17.)