Liability

Who is responsible when something goes wrong.

Reduction Of Liability

• If you have a caution sign, then the person who trips has the liability
• If there is no sign, then the business is liable

Personal Liability

You as the business owner has liability over business actions. If your business can’t pay it off, then you must pay it off

Unlimited Liability

The business has unlimited liability. The limits are established by the court.

Example

• Your business causes a flood in the person’s house
• The customer to repair damages, requires you to pay several thousand for damages

Joint/Several Liability

Each partner is responsible for the debts and liabilities of the other partner. You are responsible for your partner’s actions.

Limited Liability

Only liable to a certain degree