Among the proposals heard by the Judiciary Committee this week was one addressing a priority of state employers, and a recent state commission that focused on how to make Connecticut more business-friendly.

Adopt the ULLCA

In Connecticut, up to seven times as many limited liability companies are being formed each year compared with corporations.

Under the national Uniform Limited Liability Company Act, states have to adopt a set of rules by which to regulate the formation, dissolution and overall regulation of limited liability companies.

The ULLCA was created by the National Conference of Commissioners on Uniform State Laws in the 1990s to provide states with some consistency in governing LLCs.

The ULLCA is more comprehensive, well written and modern than Connecticut’s current LLC act, representing a significant advancement in this area of law.

What’s more, the Commission on Connecticut’s Leadership in Corporation and Business Law recommended to the legislature “updating and revising the Connecticut LLC statutes patterned after the revised ULLCA” as part of efforts to make this a more business-friendly state.

Connecticut should adopt the ULLCA, through HB 5259, which will streamline administration and in turn reduce costs, and provide decisive and predictable consistency across jurisdictions.

Liability change

On the liability front is another bill being contemplated by the Committee that will unfortunately create a new cause of action for loss of parental consortium in a wrongful death case.

SB 247 does not simply codify the recent Supreme Court ruling in Campos v. Coleman. In the Campos  case, but, the Supreme Court recognized a claim of loss of consortium by a minor child, but placed certain restrictions on the ability to bring suit and recover damages.

Specifically, the decision limited parental consortium claim liability arising from injury to parent during the parent’s life and precluded damages arising from a parent’s death.

While the Campos decision represents a change in tort law, parental consortium is vastly different than spousal consortium.

CBIA will work against this measure of which the full costs and results have yet to be determined.

For more information, contact CBIA’s Louise DiCocco (203.589.6515) | 

Filed Under: Employment Law

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