In 2014, Washington State passed Senate Bill 5999, a law which addresses corporate entity conversions, passed the state senate (97-0) and was signed by Governor Jay Inslee into law. The law streamlines the conversion process and allows for an easier and cost-effective method. Domestic entities will be able to change their state of incorporation and/or their entity type.
Previously, these changes would entail the entity receiving a new UBI number and new date of incorporation.
Essentially, the law allows for entities to convert to LLC status and from an LLC status. After a conversion, the organization remains the same with respect to its holding in real estate and other property, debts, liability and other obligation and any lawsuits that may have been previously filed against the organization. Thus, conversion does not negate any of the organization’s previous responsibilities.
If you would like to more about this, please do not hesitate to contact me.