Codifying Contract Law: International and Consumer Law

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The disadvantages of the limited liability company are as follows:. there are occasions where the members/directors are in fact liable for the company’s debts. risk passes to creditors, whose opportunity for safeguarding themselves from the company’s default may be slender. companies provide a perfect opportunity for ingenious frauds. directors running the company may not always behave with the company's best interests at heart. the danger of speculation. potentially impaired standards of professionalism. people may try to take advantage of the rules to evade legal if not moral responsibility. requirement (at least in larger companies) of a minimum capital of £50,000. expense and formality of incorporation. continuing costs of compliance with company law. requirement to disclose accounts. requirement to disclose details about the directors and about the constitution of the company There are several different types of company, but the most common is the private limited company, limited by shares.

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Publisher: Ashgate Pub Co (1861)


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