Member Agreements - Legal questions

Discussion in 'Prop Firms' started by vonk, Oct 28, 2002.

  1. vonk


    To all those who are members of prop firms, or those lawyers trading with firms:

    1) Did you have an attorney review the agreement prior to signing?

    2) Are all these kind of agreements pretty much the same? Or are there differences between them? If so, what kind?

    3) What kinds of things do you need to look out for when reading the agreements? Are there major NO-NOs a trader should look out for?

    I have seen one agreement that states the member's capital account is an asset of the company not the trader. Is this true of all LLCs? What are the downsides to this kind of arrangement?

    Any thoughts would be appreciated.