Akademik

limited liability
Limitation of loss to what has already been invested. Bloomberg Financial Dictionary
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See equity shares. Dresdner Kleinwort Wasserstein financial glossary
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When the liability of the shareholders is limited to the nominal value of their shares, it is called limited liability. London Stock Exchange Glossary

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limited liability limited liability liability

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   A restriction of the owners' loss in a business to the amount of capital they have invested.

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limited liability UK US noun [U] LAW
a situation in which the owners or other shareholders of a company are not responsible for all of its debts if the company fails: »

The bank can rely on limited liability to protect employees and shareholders from lawsuits.

Compare UNLIMITED LIABILITY(Cf. ↑unlimited liability)

Financial and business terms. 2012.