. How Joint and Several Liability Works.
What does jointly but not severally mean?
The phrase "jointly but not severally" is a legal term that is typically used in business contracts to indicate that the parties to the contract are jointly liable for any obligations under the contract, but that each party is only severally liable for their own individual obligations. This means that if one party fails to perform their obligations under the contract, the other party is still liable for their own obligations.
How do you use severally?
The word "severally" is most commonly used to describe a situation in which multiple people or things are each considered individually. For example, you might say "Each of the students in the class is responsible for their own homework" to mean that each student is responsible for their own homework, and not responsible for the homework of any other students.
In business, "severally" is often used to describe a situation in which multiple parties are each individually responsible for something. For example, if multiple people sign a contract, they may be referred to as "severally liable" for the terms of the contract. This means that each person is individually responsible for upholding their part of the contract, and is not responsible for the actions of the other parties.
Are company directors jointly and severally liable?
Yes, company directors are typically jointly and severally liable for the debts and obligations of the company. This means that each director is individually liable for the full amount of the debt or obligation, and all directors are jointly liable for the debt or obligation. This liability can extend to personal assets in some cases. What is an example of several? An example of "several" would be if you had a group of people, and you wanted to divide them into smaller groups. For instance, if you had ten people, and you wanted to divide them into two groups of five, you would have "several" groups of five.
What's the difference between joint and joint and several?
Joint and several is a legal term that refers to the liability of two or more parties for a debt or obligation. Joint and several liability means that each party is liable for the entire debt or obligation, and each party is individually responsible for repayment. This type of liability is often used in business contracts, where each party is jointly and severally liable for the performance of the contract.