An Oregon multi-member LLC operating agreement is an internal contract that relays the terms by which a limited liability company (LLC) will operate. The completed document will include the business’s purpose, tax treatment, division of ownership, and the members’ rights and responsibilities.

Although an operating agreement isn’t legally required in Oregon, it can protect the members from the LLC’s liabilities and debts by providing evidence that the company’s assets are separated from the members’ personal assets. Furthermore, executing an agreement allows the members to avoid internal conflicts over the percentage of ownership and contributions.