(law) Of a business entity, having liability for legal claims that is limited to the assets of the entity itself, and which therefore does not reach the assets of the individual owners/investors of the company.
Limited-liability Sentence Examples
It has been decided in the law courts that a limited liability company is not a person in the eye of the law, and therefore does not come under the operation of the act of 1868.
Soon after the conclusion of peace important changes were made in the legislation concerning industry and commerce, and the new freedom thus accorded produced a large number of limited liability companies.
The principle of limited liability which this attitude assumed was soon found to be utterly untenable.