limited liability
noun
a liability restricted by law or contract, as the liability of owners of shares in a corporation or limited company, or that of a special partner.
Origin of limited liability
First recorded in 1850–55
Words nearby limited liability
limitation,
limitative,
limited,
limited company,
limited edition,
limited liability,
limited monarchy,
limited partner,
limited partnership,
limited policy,
limited war
Example sentences from the Web for limited liability
Eason recounted what he knew: that a limited-liability company was set up to buy a house where Jobs could recuperate.
Memphis Doctor Who Performed Steve Jobs’ Liver Transplant Bought His House |Andy Meek |June 26, 2012 |DAILY BEASTWe've no limited-liability company act to fear, no treasury investigations.
A Lost Cause |Cyril Arthur Edward Ranger Gull
British Dictionary definitions for limited liability
limited liability
noun
British
liability restricted to the unpaid portion (if any) of the par value of the shares of a limited company. It is a feature of share ownership
Cultural definitions for limited liability
limited liability
A fundamental feature of corporations, whereby investors are liable only up to the amount of their investment.
notes for limited liability
This principle is important for failing corporations because it holds that only the
assets of the corporation, not the personal assets of its owners, can be liquidated (
see
liquidation) to cover the corporation's debts.