(US BUSINESS LAW) a type of business organization which is a cross between a partnership and a corporation. In a private partnership, all of the partners own all the assets in common and have unlimited liability; in a corporation, the firm assets are owned by a legal "person," and shareholders are liable only for the value of their stake (equity) in the firm.
Partnerships have higher risk for members, but their management can disclose a lot less and the taxes are lower. Limited/limited liability partnerships represent a compromise.
In a limited partnership, one or more of the partners has unlimited liability ("general partners") and the others have liability limited to their equity stake in the firm ("limited partners"). A limited partnership is indicated by the initials "LP" after the name, e.g. Apollo Management, LP.
In a limited liability partnership, all members have limited liability; specifically, the other partners of the LLP are shielded from torts for malpractice against the other partners, BUT they are legally responsible for financial claims against the whole organization. LLP liability varies somewhat by state law (several US states do not permit LLP's at all), and somewhat by the terms of the LLP agreement for that particular partnership.
Apologies to Urban Dictionary for an error in the definition of private equity fund and hedge fund: both types of fund are almost never LLP's; they are often limited partnerships (LP's).
Partnerships have higher risk for members, but their management can disclose a lot less and the taxes are lower. Limited/limited liability partnerships represent a compromise.
In a limited partnership, one or more of the partners has unlimited liability ("general partners") and the others have liability limited to their equity stake in the firm ("limited partners"). A limited partnership is indicated by the initials "LP" after the name, e.g. Apollo Management, LP.
In a limited liability partnership, all members have limited liability; specifically, the other partners of the LLP are shielded from torts for malpractice against the other partners, BUT they are legally responsible for financial claims against the whole organization. LLP liability varies somewhat by state law (several US states do not permit LLP's at all), and somewhat by the terms of the LLP agreement for that particular partnership.
Apologies to Urban Dictionary for an error in the definition of private equity fund and hedge fund: both types of fund are almost never LLP's; they are often limited partnerships (LP's).
The limited liability partnership is a popular form of business organization for lawyers and other professionals.
by Abu Yahya September 2, 2010
Get the limited liability partnership mug.When you're going out with someone but you're in that awkward stage where you are transitioning from best friends to boyfriend/girlfriend. You basically are afraid to even touch each other. Don't fret, soon you'll be making out and all of your other friends will yell at you for PDA.
by WoahBro May 27, 2010
Get the lab partner mug.Related Words
Partnerka is an affiliate marketing program, in which the partners are payed off for online distribution of illegal content, such as malware or spam. The term originates from Russia, where vast networks of partnerkas form the foundation of the cyber criminal business.
Dogmamillions is the partnerka which facilitated the propagation of the TDSS rootkit to form the botnet.
by К.О. November 18, 2010
Get the Partnerka mug.to be a partner , to have a relationship with an individual, company, or entity with the understanding that there is a greater benefit for either entities sacrifices , used when dealing with vendors
by DownTown_CharlieBrown October 8, 2011
Get the Partnerial mug.Dick friend: Well since I lost all my money at the casino, I kinda sorta maybe took your credit card and lost that too.
Victim: What a partner fail.
Victim: What a partner fail.
by Timmy-Tuck-Tuck May 14, 2015
Get the Partner fail mug.a loan for which a group of individuals who agree to meet for a defined period in order to save and borrow together.
by Al Ameen June 8, 2016
Get the partnerhand mug.by DaddyBob123 July 29, 2018
Get the parderlikes mug.