HB1447 Summary

• Creates a new legal entity classification called "low-profit limited liability company" (L3C) that must significantly further charitable or educational purposes and cannot have political, legislative, or significant income-production purposes as defined under 26 U.S.C. 170(c)(2)

• Requires low-profit LLCs to use the designation "low-profit limited liability company" or abbreviation "L3C" or "l3c" in their business names, distinguishing them from standard LLCs which use "LLC" or "L.L.C."

• Amends reporting and filing requirements for farming and ranching corporations and LLCs, including annual reports filed before April 16th each year with shareholder/member and acreage information

• Clarifies notice and signature requirements throughout North Dakota's LLC statutes by referencing standardized definitions in section 10-32-02 rather than repeating specific subsection numbers

• Requires the legislative council to codify changes related to low-profit LLCs if chapter 10-32 is repealed and replaced during the sixty-fourth legislative assembly