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LSDefine

Simple English definitions for legal terms

LLP

Read a random definition: veniremember

A quick definition of LLP:

A limited liability partnership (LLP) is a type of partnership where each partner is only responsible for a limited amount of the partnership's debts. This means that if the partnership owes money, the partners will not have to pay more than their share. LLPs are often used by professionals and larger partnerships. They must have at least two partners, and each partner can have different levels of control and profits. However, if the partners do something wrong, like not paying their debts, a court may make them pay more than their share.

A more thorough explanation:

Definition: Limited liability partnership (LLP) is a type of partnership where each partner has limited personal liability for the debts of the partnership. This means that partners are not responsible for the tortious damages of other partners, but they may be responsible for contractual debts depending on the state. LLPs are popular for larger partnerships, especially for professionals, and some states only allow professionals to use the LLP format.

For example, a group of lawyers may form an LLP to protect themselves from personal liability for the debts of the partnership. If the partnership is sued for malpractice, each lawyer's personal assets are protected from being seized to pay the damages.

LLPs must have at least two partners, but they have flexibility in structuring how control and profits are divided among partners. Most decisions in an LLP can be allocated to certain partners, except for changes to the partnership agreement, which require approval from all partners.

Unlike limited partnerships, LLPs allow partners to have limited liability even if they are involved in managing the business. However, if a court finds that partners attempted to undermine creditors by making improper distributions, the court may "pierce the veil" of limited liability and require partners to pay back funds to creditors. This decision depends on the specific laws of the state where the LLP is registered.

Example: A group of doctors may form an LLP to protect themselves from personal liability for the debts of the partnership. If the partnership is sued for medical malpractice, each doctor's personal assets are protected from being seized to pay the damages.

This example illustrates the definition of LLP by showing how professionals can use this type of partnership to protect themselves from personal liability for the debts of the partnership. The doctors can work together as a partnership, but they are not personally responsible for each other's mistakes or debts.

Compare with: Limited partnership and limited liability company (LLC).

LLC | loan

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got a random stanford email and almost had a heart attack
ALSO CONGRATS!
Congrats1!
21:15
Miami A, yall I'm so excited I could cry.
21:15
Feel like I can finally stop holding my breath!! Whew!!!
[] baddestbunny
22:16
every time I get accosted by a strange man who follows me around because my male coworkers were too busy talking to walk me back to my car I get closer to saying we need to bring back traditional gender roles
Dkk
22:32
Nice! @Macaque
Dkk
22:32
@Aromatic, Have to guess.
Dkk
22:33
That sucks @Bunny do you have to go to the hospital?
[] baddestbunny
22:40
I said accosted not assaulted
23:35
guys. my notre dame address just went long is this good or bad
1a2b3c4d26z
23:37
Oooooo me too
23:37
omg is this good or bad
Dkk
23:47
Idk if gender roles are gunna fix that then.
23:49
it looks like most people who applied in october last cycle didn't get a decision until january... does it even mean anything that our addresses went long??
hows ED 2 compared to ED 1?
Dkk
0:10
No idea
windyMagician
0:34
reporting live to say my ndls address also went long
does it mean anything ^
Dkk
2:21
NDLS and Fordham took a very long time last year. It's good info for people to know.
[] baddestbunny
4:29
let’s get after it boys and girls
Dkk
5:21
I gtg to bed soon.
Dkk
5:22
Big day today. Gunna be a crazy one. I will sleep through the first half.
good morning lsd it is 5 am EST
also jazzy my ndls address went long ages ago i sadly do not think it means anything
my stanford address also went long LOL i think at most it's an indicator it's under review
WorthlessAttractiveZombie
7:44
My berkeley paragraph finally disappeared. I definitely think it is just an indicator that they are actively reviewing files, and does not mean anything about A, WL, or Rs
WorthlessAttractiveZombie
7:46
Also has anyone's date disappeared for W&L? Mine did last night
7:55
@WorthlessAttractiveZombie: mine did yesterday morning
7:56
Oops sorry I meant Vilanova. Mine disappeared last week
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