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What does LLP stand for? As in the example name "Flood Law Group, LLP".

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Limited Liability Partnership –  Dilip Sarwate May 24 '12 at 13:37

1 Answer 1

It means Limited liability partnership.

Basically, limited liability, means that the liabilities of the company (the debts) can't be transferred to the partner that have limited liability of the company.

So, if the company can't repay it's debts, the partner with limited liability can inject capital in the company, but don't have any obligations to do so.

I guess that you can find more information on the Wikipedia article about that: http://en.wikipedia.org/wiki/Limited_liability_partnership

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This is all true and correct, just wanted to add that an LLP does not provide partners a total shield from liability; in most other forms of limited-liability business entities, a person working in the course and scope of business of that entity is treated as an "agent" of the entity and is shielded from personal liability. An LLP, however, removes the "agency" relationship; a partner sued for fraud, misfeasance, negligence, malpractice etc is personally liable for any damages and cannot hide behind the partnership's shield. Only creditor debts and liability for others' actions is limited. –  KeithS May 30 '12 at 16:04

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