Research On The Several Legal Issues Of LLP

Limited Liability Partnership (LLP), a new unincorporated business entity, originated in Texas in 1991 to protect the innocent partners from vicarious liability claims. The most important feature of LLP is that its'members have some form of limited liability and the protection of creditor. This paper will introduce, explain and analyze the new business form——LLP.Apart from Introduction and Conclusion,the paper is made up of four parts. Chapter one is an overview of LLP. Section one provides a definition of LLP. Section two is about legal status of LLP. Section three introduces the origin and development of the LLP form. And then draws some conclusions through the development progress of LLP.Chapter two is a comparison between LLP and other organizations. Section one compares it with general partnership, limited partnership, limited liability Company, and LLLP. Section two discusses why the professional peoples choose LLP.Chapter three discusses partners'liability for LLP debts and how to protect creditors. Section one discusses the characteristic of LLP—the members'limited liability, members'liability for their own misconduct under LLP statutes, the scope of limited liability. Section two discusses prerequisites of LLP status such as insurance and financial responsibility requirements. This section also discusses loss of statutory liability protection by the application of common law"veil-piercing"rules.Chapter four the possibility and suggestions of establishing LLP in China are focused on. It discusses needs of LLP in our country and provides feasible legislative suggestions and perspectives as the conclusion of the thesis.