- Royal Knowledge
- Products
- Series LLC
-
General
-
Personas
-
Subscription
-
Tax
-
Investing
-
Legal
-
Products
- General Questions
- Insurance
- Life Insurance
- Umbrella Insurance
- LLC
- Series LLC
- DST
- Equity Stripping
- Estate Planning
- Land Trust
- IRA
- Self-Directed IRA
- Funding My IRA
- Managing My IRA
- Solo 401K
- C-Corp
- Banking
- Creating and Maintaining your Asset Holding Company
- Operating the Business Entity Outside of Texas
- Purchasing New Property
- Property Transfer
How does the lack of case law surrounding the Series LLC impact its effectiveness?
The lack of case law shows it's good at preventing lawsuits. The SLLC stops suits before they start by offering some anonymity and separation of assets from you personally (and each other). One huge reason that there's little case law on the subject is because when an attorney is considering whether to take a case, he/she researches the defendant. If their assets aren't secured--cha-ching! that means they're getting paid upon judgment, and the case is worth taking. Investors who use structures like the SLLC are harder to sue. You'll see case law on LLCs being pierced because they've been around longer. Smart lawyers have found methods for piercing the corporate veil when the investor (or their advisors) get sloppy with separating assets and operations, or otherwise mess up the entity's formation or use. Because the SLLC is newer and even more difficult to pierce, it’s highly effective for investments.