What is the major way in which the roles and obligations of the owners of a limited liability partnership differ from the roles and obligations of limited partners in a limited partnership?

Question

Quizplus · Accepted Answer

In a limited liability partnership, the owners have the ability to take an active role in running the company, whereas limited partners in a limited partnership typically cannot have active management roles without losing their limited liability status. Option A is incorrect as one of the main features of a limited liability partnership is that the owners’ personal liability is limited to their investment in the company. Option B is incorrect as limited liability partnerships, like limited partnerships, have a separation between the company and its owners. Option C is incorrect as withdrawing from a limited liability partnership may require the company to be dissolved, depending on the specific partnership agreement. Option E is incorrect as in a limited liability partnership, partners are generally not responsible for the negligence of other partners.

What Is the Major Way in Which the Roles and Obligations