Amends the definitions of the terms "beneficial owner", "reporting company" and "exempt company" to set the scope of certain provisions relating to beneficial owners of limited liability companies; authorizes the department of state to further clarify any such definitions.
Impact
The amendments proposed by S08432 aim to impact the regulatory environment of limited liability companies significantly. By setting clearer standards for what constitutes beneficial ownership and who qualifies as a reporting company, the bill will likely enhance the state's ability to monitor and regulate potentially illicit activities tied to corporate entities. Moreover, the authorization for the department of state to promulgate additional rules related to these definitions indicates an intention to adapt to future legal and market developments, establishing a more dynamic regulatory framework.
Summary
S08432 amends the limited liability company law to redefine key terms such as 'beneficial owner', 'reporting company', and 'exempt company'. The bill seeks to clarify the scope of provisions related to beneficial ownership of limited liability companies in New York. A notable change introduced by the bill is the provision that defines a 'beneficial owner' as an entity or individual who exercises substantial control or owns at least twenty-five percent of the ownership interests of a limited liability company. These definitions are crucial for enhancing financial accountability and transparency within the framework of corporate operations in New York.
Contention
Given the increased emphasis on reporting and accountability, the bill has sparked discussion among stakeholders involved in corporation governance and law. Proponents argue that these amendments will curtail practices associated with money laundering and financial fraud by improving transparency laws. However, critics express concerns regarding the administrative burden placed on smaller companies that may struggle to comply with enhanced reporting requirements. The balance between regulatory oversight and the burden on businesses will be a critical aspect of the ongoing dialogue surrounding this legislation.
Same As
Amends the definitions of the terms "beneficial owner", "reporting company" and "exempt company" to set the scope of certain provisions relating to beneficial owners of limited liability companies; authorizes the department of state to further clarify any such definitions.
Relates to the disclosure of beneficial owners of limited liability companies and foreign limited liability companies and certain information about such beneficial owners.
Relates to the disclosure of beneficial owners of limited liability companies and foreign limited liability companies and certain information about such beneficial owners.
Relates to the disclosure of beneficial owners of limited liability companies and foreign limited liability companies and certain information about such beneficial owners; requires the secretary of state to maintain a public database of all business entities organized in the state and all foreign business entities with authority to do business in the state.
Relates to the disclosure of beneficial owners of limited liability companies and foreign limited liability companies and certain information about such beneficial owners; requires the secretary of state to maintain a public database of all business entities organized in the state and all foreign business entities with authority to do business in the state.
Limits ownership or possession of companion animals by "Buster's Law" violators and adds definition of equine companion while taking horses out of farm animal definition.
Permits a STAR exemption for property owned by a limited liability company where the limited liability company is owned by a person to whom the exemption would have otherwise been granted.
Requires that any limited liability company who files a rent registration statement shall include a list of all members of such limited liability company and each member's ownership interest.
Requires that any limited liability company who files a rent registration statement shall include a list of all members of such limited liability company and each member's ownership interest.