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Which of the Following Is True Regarding the Legal Relationship

Question 90

Multiple Choice

Which of the following is true regarding the legal relationship between a limited liability company and its members?


A) A limited liability company is not a separate legal entity distinct from its members.
B) A limited liability company is a separate legal entity, distinct from its members.
C) A limited liability company is a separate legal entity only from members who own less than fifty percent of the company's stock.
D) A limited liability company is the "alter ego" of its members.
E) A limited liability company is a separate legal entity distinct from its members at the federal level, but not at the state level.

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