Definition of Unlimited liability:
Indefinite extent of liability to pay a firms debts or obligations, extending beyond the investments of the firms owner(s), partners, or shareholder(s) to their personal assets. This extent of liability is assumed in an unlimited liability company such as a sole-proprietorship or a general partnership.
How to use Unlimited liability in a sentence?
- The unlimited liability of the firm was discussed in detail at the meeting and it was determined to be a sub optimal arrangement.
- The firm would have unlimited liability and would have to pay back the debt at some point in the future.
- If you have unlimited liability you must be careful how deep you get or you may never be able to get out.
Meaning of Unlimited liability & Unlimited liability Definition