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SESK: Stuff Everyone Should Know · sesk.info/biz-llp-liability

In most states, which partnership type is designed to limit every owner's liability?

A limited liability partnership (LLP).

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  1. A general partnership
  2. A limited partnership (LP)
  3. A limited liability partnership (LLP) ✔

Why: In most states, an LLP gives every owner some liability protection, unlike an LP with an unlimited-liability general partner. The exact protection depends on state law.

Huh, didn't know that: In most states, an LLP can protect one partner from responsibility for another partner's actions.

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References

Answer: A limited liability partnership (LLP). In most states, an LLP gives every owner some liability protection, unlike an LP with an unlimited-liability general partner. The exact protection depends on state law.

  1. SBA: Choose a business structure www.sba.gov/business-guide/launch-your-business/choose-business-structure
    Limited liability partnerships are similar to limited partnerships, but give limited liability to every owner.
    Checked 2026-10-11.

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