New Jersey § 42:2c-28

Full text of New Jersey New Jersey Statutes § 42:2c-28, with citation guidance and answers to common questions.

§ 42:2c-28.

Statement of Authority. a. A limited liability company may deliver to the filing office for filing a statement

of authority. The statement: (1) shall include the name of the company, the street and mailing addresses of its

registered office and such other information as may be required by the filing office

to correctly identify the company; (2) with respect to any position that exists in or with respect to the company, may

state the authority, or limitations on the authority, of all persons holding the position

to: (a) execute an instrument transferring real property held in the name of the company;

or (b) enter into other transactions on behalf of, or otherwise act for or bind, the

company; and (3) may state the authority, or limitations on the authority, of a specific person

to: (a) execute an instrument transferring real property held in the name of the company;

or (b) enter into other transactions on behalf of, or otherwise act for or bind, the

company. b. To amend or cancel a statement of authority filed with the filing office under

subsection a. of section 22 of this act, 1 a limited liability company shall deliver to the filing office for filing an amendment

or cancellation stating: (1) the name of the company; (2) the street and mailing addresses of the company's registered office; (3) such other information as may be required by the filing office to correctly identify

the company; (4) the caption of the statement being amended or canceled and the date the statement

being affected became effective; and (5) the contents of the amendment or a declaration that the statement being affected

is canceled. c. A statement of authority affects only the power of a person to bind a limited liability

company to persons that are not members. d. Subject to subsection c. of this section and subsection d. of section 3 of this

act, 2 and except as otherwise provided in subsections f., g. and h. of this section, a

limitation on the authority of a person or a position contained in an effective statement

of authority is not by itself evidence of knowledge or notice of the limitation by

any person. e. Subject to subsection c. of this section, a grant of authority not pertaining to

transfers of real property and contained in an effective statement of authority is

conclusive in favor of a person that gives value in reliance on the grant, except

to the extent that when the person gives value: (1) the person has knowledge to the contrary; (2) the statement has been canceled or restrictively amended under subsection b. of

this section; or (3) a limitation on the grant is contained in another statement of authority that

became effective after the statement containing the grant became effective. f. Subject to subsection c. of this section, an effective statement of authority that

grants authority to transfer real property held in the name of the limited liability

company and that is recorded by certified copy in the office for recording transfers

of the real property is conclusive in favor of a person that gives value in reliance

on the grant without knowledge to the contrary, except to the extent that when the

person gives value: (1) the statement has been canceled or restrictively amended under subsection b. of

this section and a certified copy of the cancellation or restrictive amendment has

been recorded in the office for recording transfers of the real property; or (2) a limitation on the grant is contained in another statement of authority that

became effective after the statement containing the grant became effective and a certified

copy of the later-effective statement is recorded in the office for recording transfers

of the real property. g. Subject to subsection c. of this section, if a certified copy of an effective statement

containing a limitation on the authority to transfer real property held in the name

of a limited liability company is recorded in the office for recording transfers of

that real property, all persons are deemed to know of the limitation. h. Subject to subsection i. of this section, an effective certificate of dissolution

is a cancellation of any filed statement of authority for the purposes of subsection

f. of this section and is a limitation on authority for the purposes of subsection

g. of this section. i. After a certificate of dissolution becomes effective, a limited liability company

may deliver to the filing office for filing and, if appropriate, may record a statement

of authority that is designated as a post-dissolution statement of authority. The statement operates as provided in subsections f. and g. of this section. j. An effective statement of denial operates as a restrictive amendment under this

section and may be recorded by certified copy for the purposes of paragraph (1) of

subsection f. of this section. 1

L.2012, c. 50 (N.J.S.A. § 42:2C-22). 2

L.2012, c. 50 (N.J.S.A. § 42:2C-3).

Frequently Asked Questions About New Jersey § 42:2c-28

What does New Jersey Statutes § 42:2c-28 cover?

Section 42:2c-28 is part of the New Jersey Statutes, the codified statutory law of New Jersey. It sets out the legal rule or procedure described in the text above. Statutes are amended regularly, so always verify against the official source.

How do I cite New Jersey § 42:2c-28?

A common citation format is "New Jersey Statutes § 42:2c-28" (New Jersey). Legal writing may require the code abbreviation, section number, and year or edition. Match the style required by your court, professor, or publisher.

Is this the official text of New Jersey law?

No. This page is for research and education and may not include the most recent amendments. For official current law, check the New Jersey official source linked on this page or consult a licensed New Jersey attorney.

How does New Jersey § 42:2c-28 apply to my situation?

Statutes are interpreted in context, and application depends on your specific facts. Only a licensed attorney in New Jersey can advise on how this section applies to you. Contact your state or local bar association for a referral.

Sources & Verification

Not legal advice. Verify against the official source and consult a licensed attorney in New Jersey.