Bill > HB0459

This bill amends multiple sections of Tennessee law to expand grounds for administrative dissolution of various business entities, specifically adding two new conditions: first, an entity can be dissolved if it files a document with the secretary of state that contains materially false information, knowingly signed by an officer, director, agent, or representative; and second, an entity can be dissolved if it is owned or controlled by a foreign government or foreign nongovernment person that the United States secretary of commerce has determined to be a foreign adversary, as specified in federal regulations (15 CFR 791.4(a)). The bill applies these new dissolution criteria to multiple types of business organizations including cooperatives, corporations, foreign corporations, limited liability companies (LLCs), limited partnerships, and foreign limited partnerships. An important exception is made for entities involved in transactions approved by the Committee on Foreign Investment in the United States, which would be exempt from administrative dissolution under the foreign adversary provision. The bill takes effect immediately upon becoming law, with the stated purpose of protecting the public welfare by ensuring greater accountability and scrutiny of business entities with potentially problematic ownership or reporting practices.

Business and Industry

https://wapp.capitol.tn.gov/apps/Billinfo/default.aspx?BillNumber=HB0459&ga=114