Write and post a response to the following scenario: 250 words

Javon, Isabella, and Tomas form a limited liability company. Javon contributes 60 percent of the capital, and Isabella and Tomas each contribute 20 percent. Nothing is decided about how profits or losses will be divided. Javon assumes that he will be entitled to 60 percent of the profits, in accordance with his contribution. Isabella and Tomas, who do most of the work in the limited liability company, assume that the profits will be divided equally. A dispute over the profits arises, and ultimately a court has to decide the issue.

1) What law will the court apply? What law will the court apply if the state does not have laws covering limited liability companies?

2) In most states, what will result? Why?

3) How could this dispute have been avoided in the first place?

Discuss fully.