LLC

An LLC, or Limited Liability Company, is a type of business structure in the United States that combines the flexibility of a partnership with the limited Liability of a Corporation. Owners of an LLC, called members, are typically not personally liable for the debts and liabilities of the business. This means that personal Assets are generally protected in the event of business Bankruptcy or lawsuits.

Examples

• Example 1: A single-member LLC, such as “Jane’s Consulting LLC,” allows Jane to operate her consulting business while protecting her personal Assets.
• Example 2: A multi-member LLC, like “Tech Innovations LLC,” formed by several partners, Shares profits while limiting personal Liability for business debts.

Cases

• Case 1: In the case of “In re: Wiggins,” the court upheld the limited Liability of an LLC, protecting members from personal claims related to business debts.
• Case 2: In “Doe v. ABC LLC,” the court ruled that personal Assets could not be seized to satisfy business obligations, affirming the LLC’s Liability protection.