Collective Liability
/kəˈlɛktɪv ˌlaɪəˈbɪləti/
Definitions
- (n.) Legal responsibility shared jointly by all members of a group for the actions or debts of any one member.
In cases of collective liability, all partners are equally responsible for the firm's debts.
- (n.) Liability imposed on a group as a whole rather than on individual members separately.
Collective liability ensures that a corporation as a whole can be held accountable for wrongful acts of its employees.
Forms
- collective liability
Related terms
See also
Commentary
Collective liability often arises in contexts such as partnerships, corporations, and tort law where liability is imposed on a group collectively rather than individually.
This glossary is for general informational and educational purposes only. Definitions are jurisdiction-agnostic but reflect terminology and concepts primarily drawn from English and American legal traditions. Nothing herein constitutes legal advice or creates a lawyer-client relationship. Users should consult qualified counsel for advice on specific matters or jurisdictions.