limited liability

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limited liability

n
(Stock Exchange) Brit liability restricted to the unpaid portion (if any) of the par value of the shares of a limited company. It is a feature of share ownership
Collins English Dictionary – Complete and Unabridged, 12th Edition 2014 © HarperCollins Publishers 1991, 1994, 1998, 2000, 2003, 2006, 2007, 2009, 2011, 2014

limited liability

If a company goes bankrupt and has limited liability, the owners of the company (the shareholders) are only obliged to pay back company debts with the money they have already invested in the firm. They will not be forced to sell their personal possessions to help pay debts.
Dictionary of Unfamiliar Words by Diagram Group Copyright © 2008 by Diagram Visual Information Limited
ThesaurusAntonymsRelated WordsSynonymsLegend:
Noun1.limited liability - the liability of a firm's owners for no more than the capital they have invested in the firm
financial obligation, indebtedness, liability - an obligation to pay money to another party
Based on WordNet 3.0, Farlex clipart collection. © 2003-2012 Princeton University, Farlex Inc.
References in periodicals archive ?
The next paragraph of the "Limit of Liability" section contained the offset language, which stated:
The final point to mention about supplementary payments (and the most rewarding from the standpoint of the insured) is that the payments do not reduce the limit of liability. The supplementary payments are in addition to the policy's limits of liability.
Our duty to settle or defend ends when our limit of liability for the 'occurrence' has been exhausted by payment of a judgment or settlement." There is an interesting difference between this promise and the others previously mentioned: the insurer recognizes a suit may be false or groundless.
Other cases held, correctly, that the intent of the policy was to limit losses to one limit of liability regardless of the number of years that coverage was in existence.
Here is a twist from last year's feature: Then I opined that a shipper needs to determine the limit of liability in order to negotiate a higher limit necessary to ensure that the products shipped are fully covered.
Limit of Liability (inclusive of Defense Expenses): A.
This defense clause stipulates that the insurer has no duty to defend a claim or lawsuit not eligible for coverage and has no duty to defend or continue defending after the applicable limit of liability is paid.
The protocol sets the limit of liability for claims for loss of life or personal injury for ships not exceeding 2,000 gross tonnage at two million special drawing rights (around US$3 million).
The Company's maximum limit of liability in a single occurrence regardless of the number of Locations or coverages involved will not exceed the Policy limit of liability of $<Fill-In>, except as follows.
Let's assume your camp carries the typical one million dollar each occurrence limit of liability. Because of the Additional Insured status provided to these two other organizations, your liability insurance policy has to respond to them as primary insurance.
* The contractual $20,000 limit of liability will be waived for this specific incident.