Limited Liability Partnership

KOD Lyons. are delighted to announce that we have been authorised to operate as a Limited Liability Partnership (“LLP”).This means that from the 5^th February 2024:

• An individual Partner in the Firm has no personal liability for any debts, liabilities or obligations which are incurred for the purpose of carrying on the business of the Limited Liability Partnership (whether these liabilities of the LLP, of himself or herself, of another Partner of Partners in the LLP or any Employee, Agent or Representative of the LLP) and however such liability may arise.
• This does not in any way prevent or restrict the enforcement against the property of the LLP, of any debt, liability or obligation and the protection afforded relates to the personal liability of the Partners only.
• The Partnership Act 1890 continues to apply to the LLP to the extent that it is not inconsistent with Chapter 3 of Part 8 of the Act.

This Notice is intended to inform you of the change of our status to a Limited Liability Partnership.

In law, “LLP” stands for “Limited Liability Partnership.” An LLP is a legal entity that combines features of both partnerships and corporations. This business structure allows for the partnership to operate as a separate legal entity from its partners, and it provides limited liability to its members.

In an LLP, partners are typically not personally liable for the debts or liabilities of the partnership arising from professional malpractice of other partners. This is different from a traditional partnership, where each partner can be held responsible for the liabilities incurred by the partnership as a whole. LLPs are commonly used by professional groups such as lawyers, accountants, and architects.

Below, is an extended explanation of our transition to an LLP. This transition to an LLP format carries several important implications for our practice and our relationship with you, our valued clients:

• Enhanced Protection for Our Partners: Under the LLP structure, our partners are now provided with limited personal liability for debts, obligations, or liabilities incurred in the business operations of KOD Lyons. This change importantly means that while our firm remains fully accountable for its professional obligations, our partners’ personal assets are generally safeguarded against liabilities incurred by the LLP.
• LLP’s Liabilities: It is important to clarify that this shift to an LLP does not absolve the firm of its obligations. KOD Lyons, as an LLP, will continue to bear full responsibility for its debts and legal liabilities. As our client, your legal rights to enforce claims remain fully intact against the LLP’s assets.
• Enforcement Against LLP’s Assets: Consistent with the LLP framework, any enforcement related to debts, liabilities, or obligations will be directed at the assets of KOD Lyons LLP. This means that while our partners are afforded personal protection, the firm remains fully committed to meeting its professional and financial obligations.
• Continued Applicability of the Partnership Act 1890: We adhere to the relevant legal frameworks governing our operations, including the applicable aspects of the Partnership Act 1890, in harmony with the specific stipulations for LLPs. This ensures that our firm operates with the utmost legal integrity and adherence to both traditional and contemporary partnership laws.
• Communication of Our New Status: This structural transition to an LLP is a significant milestone for KOD Lyons, reflecting our commitment to progressive and responsible business practices. While this change primarily pertains to our internal risk management and liability structure, we believe it is crucial for transparency and trust to keep you informed.

KOD Lyons becoming an LLP offers several internal benefits:

• Reduced personal liability: Partners’ personal assets are generally protected from the firm’s debts.
• Improved financial flexibility: Easier access to capital and potentially lower insurance costs.
• Enhanced internal structure: More clarity on partner roles and responsibilities.

The LLP structure isn’t just about internal safeguards; it also lays the groundwork for KOD Lyons’ future expansion and success. In essence, the LLP structure provides a stronger foundation for sustainable growth, which translates to greater stability, innovation, and value for both the firm and its clients.

For you, our client, this development underscores our firm’s dedication to robust, sustainable, and client-focused legal services. Our transition to an LLP structure is a step forward in enhancing our service delivery, ensuring stability and reliability in all our professional engagements. Rest assured, our commitment to providing exceptional legal services remains our foremost priority.

The good news is that KOD Lyons’ transition to a Limited Liability Partnership (LLP), shouldn’t significantly impact your experience as a client.. Here’s a breakdown of what it means for you:

Protection for Partners:

• The main change is that individual partners at KOD Lyons now have limited personal liability for the firm’s debts and obligations. This means their personal assets (like houses or cars) are generally protected if the firm encounters financial difficulties.

No Change in Services or Quality:

• You can expect the same high-quality service and expertise from KOD Lyons. The LLP structure doesn’t affect their commitment to your needs or the services they offer.

Financial Implications:

• Your existing contracts and agreements with KOD Lyons remain valid. There shouldn’t be any unexpected changes in costs or fees related to your services.

Transparency and Trust:

• KOD Lyons is informing you of this change as a matter of transparency and maintaining trust. While the LLP structure offers them internal benefits, it shouldn’t affect your experience as a client.

Overall

• You can continue to rely on KOD Lyons for our professional services and expertise. The LLP structure is mainly an internal change impacting the firm’s legal and financial framework.

If you have any specific questions or concerns about KOD Lyons becoming an LLP, don’t hesitate to reach out to us directly. We’ll be happy to address your individual needs and ensure a smooth transition for everyone involved.

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