Limited-liability
noun
1.
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.
noun
1.
(Brit) 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
A fundamental feature of corporations, whereby investors are liable only up to the amount of their investment.
Note: 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.
Read Also:
- Limitedly
[lim-i-tid] /ˈlɪm ɪ tɪd/ adjective 1. confined within limits; restricted or circumscribed: a limited space; limited resources. 2. Government. restricted with reference to governing powers by limitations prescribed in laws and in a constitution, as in limited monarchy; limited government. 3. characterized by an inability to think imaginatively or independently; lacking originality or scope; narrow: […]
- Limited-monarchy
noun 1. a monarchy that is limited by laws and a constitution. [lim-i-tid] /ˈlɪm ɪ tɪd/ adjective 1. confined within limits; restricted or circumscribed: a limited space; limited resources. 2. Government. restricted with reference to governing powers by limitations prescribed in laws and in a constitution, as in limited monarchy; limited government. 3. characterized by […]
- Limitedness
[lim-i-tid] /ˈlɪm ɪ tɪd/ adjective 1. confined within limits; restricted or circumscribed: a limited space; limited resources. 2. Government. restricted with reference to governing powers by limitations prescribed in laws and in a constitution, as in limited monarchy; limited government. 3. characterized by an inability to think imaginatively or independently; lacking originality or scope; narrow: […]
- Limited-order
noun 1. . noun, Stock Market. 1. an order to buy or sell a specified amount of a security at a specific price.
- Limited-partner
noun 1. . noun 1. a business partner who has no management authority and no personal liability