LLC Limited Liability
Comments debate the extent to which LLCs and corporations provide limited liability protection for personal assets in lawsuits, including discussions on piercing the corporate veil and exceptions like criminal acts.
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this is what limited liability corporations are for, no?
LLC's protect against individual liability. They would be sueing the company, not the management team's personal assets.
IANAL but almost certainly not. This is one of the primary purposes of corporations: to limit liability.
In which case they should not be a corporation with limited liability.
> I think that in many, if not most cases, you're jointly liable with the corporationProbably depends on exactly where you are, but in the US the "LL" in "LLC" is "Limited Liability". (The same concept applies for a C-corp, and Europe has equivalent constructs AFAIK.)One of the main selling points of a corporation is limited liability. If you are acting on behalf of the company you are very explicitly not "jointly" or in any other way liable
You misunderstand the reach of limited liability. It caps liability not merely w.r.t. consumers/vendors/employees etc, but to anyone whatsoever, even a person who has no relationship with a corporation and did not enter into a contract with it.
that's the idea of "limited liability". it has a lot of downsides in practice.
How does that work out? Isn't it a limited liability company? I know there's "piercing the corporate veil", but why would that apply in this case?
And limited liability on the down side!
Only if you accidentally pierce the corporate veil [1], but that's pretty hard for one person to do with their bare hands.[1]: Much as I hate to explain a pun: https://en.wikipedia.org/wiki/Piercing_the_corporate_veil