QUESTION FOR DISCUSSION: Should the sole shareholder (100% ownership) of an LLC be able to avoid liability for the torts of his or her employees? Why or why not?
Explanation
Sole shareholder (100% ownership) of an LLC would not be able to avoid lability for the torts of his or her employees.
This is so because no other person can be made liable for the
mistakes someone else even if it is a case of sole shareholders of
an LLC.
In case of llc where an employee does any mistake/torts, he is the
only person who shall be made responsible for his or her
mistakes.
Also, company is an artificial person and saperate from its shareholders and employees. This means that the liabilities of its members and employees would be saperate from the liabilities of the company.
Hence, the sole shareholder (100% ownership) of an LLC would not be able to avoid liability for the torts of his or her employees.
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