Legally responsible for something, having liability under the law. 1. Bound or obliged in law or equity; responsible; chargeable; answerable; compellable to make satisfaction, compensation, or restitution. 2. Exposed or subject to a given contingency, risk, or casualty, which is more or less probable. Limited liability. The liability of the members of a joint-stock company may be either unlimited or limited; and, if the latter, then the limitation of liability is either the amount, if any. unpaid on the shares, (in which case the limit is said to be “by shares,”) or such an amount as the members guaranty in the event of the company being wound up, (in which case the limit is said to be “by guaranty.1′) Brown. Personal liability. The liability or the stockholders in corporations, under certain statutes, by which they may be held individually responsible for the debts of the corporation, either to the extent of the par value of their respective holdings of stock, or to twice that amount or without limit, or otherwise, as the particular statute directs.