Section 304-C:118 - Transfers, Etc.-DefinitionsI. A transfer of membership rights by a member shall mean any voluntary or involuntary transfer or other disposition of all or any part of those rights to another person, with or without consideration, including:(a) A transfer by sale, exchange, gift, or assignment;(b) A transfer, whether by will, trust, or otherwise, taking effect upon the death of the member; and(c) A transfer by operation of law, including a transfer in connection with a merger of a member that is an entity into another entity, by execution of legal process, or under a divorce or bankruptcy decree.II. The term "transfer" shall not include redemptions or pledges of membership rights.III. A redemption of a member's membership rights shall mean the extinguishment of those rights in exchange for a distribution of cash, other property, or other consideration from the limited liability company to the member.IV. A grant of membership rights shall mean their issuance by the limited liability company to a member or other person.V. A pledge shall mean an arrangement under which a member provides another person with an interest in all or any portion of the member's membership rights in order to secure an obligation of the member.Entire chapter added by 2012 , 232: 2, eff. 1/1/2013. 2012, 232 : 2 , eff. Jan. 1, 2013.