704 - Distribution of assets.

§  704.  Distribution  of  assets.  Upon  the  winding up of a limited  liability company, the assets shall be distributed as follows:    (a) to creditors, including members who are creditors, to  the  extent  permitted  by  law,  in  satisfaction  of  liabilities  of  the  limited  liability company, whether by payment or by  establishment  of  adequate  reserves, other than liabilities for distributions to members and former  members under section five hundred seven or section five hundred nine of  this chapter;    (b)  except  as  provided  in  the operating agreement, to members and  former members in satisfaction of liabilities  for  distributions  under  section five hundred seven or section five hundred nine of this chapter;  and    (c)  except  as  provided in the operating agreement, to members first  for the return of their contributions,  to  the  extent  not  previously  returned,  and  second  respecting  their  membership  interests, in the  proportions in which the members share in  distributions  in  accordance  with section five hundred four of this chapter.