According to Halacha, may a Jew sue another Jew through a beit din for the actions of a corporation the other Jew is invested in if that corporation is a limited liability structure under secular law? On the one hand it may be considered like they are exempt from personal liability due to Dina D’malchuta Dina but on the other hand since third parties don’t consent to limited liability contracts it may not apply. In this case, the corporation’s owners are mostly Jews but each have minority vote.
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2The rationale for those who hold that bankruptcy works in halacha since business is conducted with the knowledge that this is the law, an LLC is also a known law and business is conducted with the knowledge that you are limited in your options to collect.– ChatzkelCommented Feb 19 at 18:43
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Are you thinking of a minority investment? Or a majority investment giving the Jew control? I guess it makes a very big difference– mblochCommented Feb 20 at 5:33
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1dinonline.org/2014/03/20/corporations-in-halachah– ChatzkelCommented Feb 27 at 1:35
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@chatzkel that would work for debts, which are entered into on the understanding that the laws of the limited company would apply. But what about if an ox of a limited company damages?– AKACommented Mar 3 at 17:18
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