LLCs

New Hampshire Senate
Allegra Boverman / NHPR

The New Hampshire Senate voted Thursday to keep campaign contributions flowing from LLCs, but moved to tighten restrictions on political advertising. 

Senator Dan Feltes argued in vain Thursday in favor of his bill, which would have closed what he calls the Limited Liability Corporation loophole. The bill sought to prevent multiple LLCs with the same owner from collectively exceeding the individual campaign contribution limit.

The majority instead voted with Senator Andy Sanborn, who owns several LLCs himself.

Allegra Boverman for NHPR

A Democratic senator from Concord is hoping to close a so-called loophole in New Hampshire’s election laws that he says undermines the state’s limits on campaign contributions.

About 120,000 Granite Staters -- almost 10 percent of the state’s population -- are members of an LLC, or Limited Liability Corporation.  But too many LLCs fail because of internal disputes, says John Cunningham, a Concord lawyer and expert on LLCs.  On January 1, a revised LLC act that was signed by Governor Lynch in June will go into effect.  Cunningham -- who was the principle author of the original LLC law and chaired the committee that wrote the new act -- says the new law sets out to reduce disputes between LLC members by clarifying their responsibilities. He gives this example: