This chart breaks down how every U.S. state handles charging orders against LLC members. It shows the exact statute for each state and, more importantly, how much protection that state gives an LLC owner from creditors. Some states make foreclosure easy (high risk), some block it entirely (strong protection), and others leave it vague (courts decide). Use it as a quick reference guide to see where your state stands—or to compare states if you’re deciding where to form your LLC. For deeper guidance on what this means for your business, contact LLC Attorney and speak with a Business Success Advisor at LLCAttorney.com.
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State | Citation | Category |
---|---|---|
Alabama | ALA. CODE § 10A-5A-5.03 | Best Shield – Foreclosure not allowed |
Alaska | ALASKA STAT. § 10.50.380 | Best Shield – Foreclosure not allowed |
Arizona | ARIZ. REV. STAT. ANN. § 29-655 | Best Shield – Foreclosure not allowed |
Arkansas | ARK. CODE ANN. § 4-32-705 | Gray Area – Law doesn’t say if foreclosure allowed |
California | CAL. CORP. CODE § 17705.03 | Most Risky – Creditors can foreclose |
Colorado | COLO. REV. STAT. | Most Risky – Creditors can foreclose |
Connecticut | CONN. GEN. STAT. 34-171 | Most Risky – Creditors can foreclose |
Delaware | DEL. CODE. ANN. § 18-703 | Best Shield – Foreclosure not allowed |
District of Columbia | D.C. CODE ANN. | Most Risky – Creditors can foreclose |
Florida | FL. STAT. ANN. | Best Shield – Foreclosure not allowed |
Georgia | GA. CODE. ANN. | Best Shield – Foreclosure not allowed |
Hawaii | HAW. REV. STAT. ANN. § 428-504 | Gray Area – Silent on foreclosure |
Idaho | IDAHO CODE ANN. § 30-25-503 | Most Risky – Creditors can foreclose |
Illinois | 805 ILCS 180/30-20 | Most Risky – Creditors can foreclose |
Indiana | IND. CODE. ANN. | Gray Area – Silent on foreclosure |
Iowa | IOWA CODE ANN. § 489.503 | Most Risky – Creditors can foreclose |
Kansas | KAN. STAT. ANN. 17-76,113 | Gray Area – Silent on foreclosure |
Kentucky | KY. REV. STAT. ANN. § 275.260 | Most Risky – Creditors can foreclose |
Louisiana | LA. REV. STAT. ANN. § 1331 | Gray Area – Silent on foreclosure |
Maine | ME. REV. STAT. ANN. tit. 31 § 1573 | Best Shield – Foreclosure not allowed |
Maryland | MD. CODE. ANN. CORPS. & ASS’NS § 4A-607 | Most Risky – Creditors can foreclose |
Massachusetts | MA. GEN. LAWS ANN. Ch 156C, § 40 | Gray Area – Silent on foreclosure |
Michigan | MICH. COMP. LAWS 450.4507 | Best Shield – Foreclosure not allowed |
Minnesota | MINN. STAT. § 322C.0503 | Most Risky – Creditors can foreclose |
Mississippi | MISS. CODE. ANN. § 79-29-705 | Gray Area – Silent on foreclosure |
Missouri | MO Rev Stat § 347.119 (2024) | Gray Area – Silent on foreclosure |
Montana | MONT. CODE. ANN. 35-8-705 | Most Risky – Creditors can foreclose |
Nebraska | NEB. REV. STAT. § 21-142 | Most Risky – Creditors can foreclose |
Nevada | NEV. REV. STAT. 86.401 | Solid Protection – Statute doesn’t allow but doesn’t clearly ban foreclosure |
New Hampshire | N.H. REV. STAT. § 304-C:126 | Best Shield – Foreclosure not allowed |
New Jersey | N.J.S.A. 42:2C-43 | Best Shield – Foreclosure not allowed |
New Mexico | N.M. STAT. § 53-19-35 | Gray Area – Silent on foreclosure |
New York | N.Y. Ltd. Liab. Co. Law § 607 | Gray Area – Silent on foreclosure |
North Carolina | N.C. GEN. STAT. § 57D-5-03 | Gray Area – Silent on foreclosure |
North Dakota | N.D. CENT. CODE ANN. § 28-25-12 | Most Risky – Creditors can foreclose |
Ohio | OHIO REV. CODE ANN. § 1706.342 | Best Shield – Foreclosure not allowed |
Oklahoma | OKLA. STAT. ANN. tit. 12, § 1506 | Best Shield – Foreclosure not allowed |
Oregon | OR. REV. STAT. § 63.259 | Gray Area – Silent on foreclosure |
Pennsylvania | None – LLC Law of 1994 doesn’t cover this | N/A – No charging order statute |
Rhode Island | R.I. GEN. LAWS § 7-16-37 | Gray Area – Silent on foreclosure |
South Carolina | S.C. CODE ANN. § 33-44-503 | Most Risky – Creditors can foreclose |
South Dakota | S.D. CODIFIED LAWS § 47-34A-504 | Best Shield – Foreclosure not allowed |
Tennessee | T. C. A. § 48-249-509 | Gray Area – Silent on foreclosure |
Texas | V.T.C.A., BUS. ORG. COD. § 101.112 | Best Shield – Foreclosure not allowed |
Utah | UTAH CODE ANN. § 48-3a-503 | Most Risky – Creditors can foreclose |
Vermont | VT. STAT. ANN. tit. 11A, § 503 | Most Risky – Creditors can foreclose |
Virginia | VA CODE ANN § 13.1-1041.1 | Solid Protection – Statute doesn’t allow but doesn’t clearly ban foreclosure |
Washington | WASH. REV. CODE ANN. § 25.15.245 | Gray Area – Silent on foreclosure |
West Virginia | W. VA. CODE § 31B-5-504 | Most Risky – Creditors can foreclose |
Wisconsin | W.S.A. 183.0705 | Gray Area – Silent on foreclosure |
Wyoming | WYO. STAT. ANN. | Best Shield – Foreclosure not allowed |
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