A limited liability partnership (LLP) is a partnership in which some or all partners (depending on the jurisdiction) have limited liabilities. It therefore exhibits elements of partnerships and corporations. In an LLP, each partner is not responsible or liable for another partner's misconduct or negligence.
A new trend that has been observed of-late is that more and more entreprenuers have started opting for Limited Liability Partnerships. LLP is the limited personal liability provided to each of the partners. Generally speaking, each partner’s personal liability for another partner’s acts is limited to the partnership’s assets. In most states, a partner can’t lose more than his or her investment for something another partner does.