That is not necessarily true. If an individual can be shown to have acted negligently or maliciously I could be able to prove personal liability to a judge's satisfaction. For example, let's say you build block walls for houses and you have an LLC. If you personally build the wall that falls on my child and kills him, I do not have to sue the LLC. I can sue the person who was personally responsible for the tort. Similarly, if you personally contracted for a service and you had clear knowledge that the company had no ability to fulfill that obligation, you can personally be held liable for the damage caused to the other party. They can sue you, and if they can prove you had personal knowledge of the company's financial position you may not be able to hide behind the LLC shield if you've damaged someone intentionally or negligently.

