Welcome to European Tribune. It's gone a bit quiet around here these days, but it's still going.
Display:
If the LLP operated by issuing invoices to external clients then, yes, it would be an organisation - and that is the norm for LLP's used conventionally.

Limitation of liability would indeed only apply to transactions entered into by Members on behalf of the LLP, which again would imply an organisation.

"Clients" might become "customer members" of the entity, in which case they become "inside the box" and party to an "Enterprise Agreement" rather than "outside the box" and entering into an adversarial contractual relationship.

There would be no invoices and the VAT consequences of this would be interesting. I haven't been involved in this yet, but it's only a matter of time.

Where all of the "stakeholder" participants come within such an an "Open Corporate" LLP umbrella then limitation of liability simply is unnecessary because there is no-one left against whom protection is needed.

This is essentially what happened in relation to a film LLP I was involved in: actors, producer, myself and "Angel" investors all became revenue sharing "Partners".

The film has not made a penny, but there is no question of a "default" requiring limitation of liability  to protect us from creditors, because there aren't any: it's all "Equity".

"The future is already here -- it's just not very evenly distributed" William Gibson

by ChrisCook (cojockathotmaildotcom) on Tue Nov 13th, 2007 at 09:03:44 AM EST
[ Parent ]

Others have rated this comment as follows:

Cat 4

Display:

Top Diaries

Occasional Series