Final answer:
4) The obligation to contribute capital to an LLC is not excused by a member's death. Capital contribution can be in the form of money or tangible property, and promissory notes are not considered capital contribution. A member's disability or inability to perform does not usually excuse their obligation to contribute capital.
Step-by-step explanation:
Of the options given, 4) A member's obligation to contribute capital is not excused by the member's death is true of capital contribution to an LLC. In an LLC, the members are obligated to contribute capital to the company, and this obligation does not cease upon the death of a member. The estate of the deceased member may be required to fulfill their capital contribution obligation.
In an LLC, capital contribution can be in the form of money or tangible property. This means that members can contribute cash, assets, or items of value to the company. Promissory notes, on the other hand, are not considered capital contribution as they represent a promise to pay in the future and not an immediate transfer of funds or property.
It's important to note that a member's obligation to contribute capital is generally not excused by a member's disability or other inability to perform. Unless stipulated otherwise in the LLC operating agreement, members are typically expected to fulfill their capital contribution obligations.