Additional Capital Contribution Clause
(Joint Venture Agreement) (Budget Overage Capped Contribution)

Summary

This additional capital contribution clause may be used in a limited liability company operating agreement of a joint venture that is developing real property where there has been a budget overage requiring the additional capital contribution of one member. This clause includes practical guidance and drafting notes. The capitalized terms and section references used in this clause should be conformed to the relevant real estate joint venture agreement. See Joint Venture Agreement for additional clauses and definitions to be contained in a joint venture agreement. For a discussion of a budget overages in a real estate joint venture agreement and other key provisions see Real Estate Joint Ventures for Commercial Real Estate Development.