At the time of this paper’s publication, certain types of professionals (namely, accountants, lawyers, and certain health care professionals) were required to work in a setting of “unlimited liability,” meaning that the individual professionals could be held liable for debts and other liabilities incurred by the company for which they worked. This paper addresses the issue of that unlimited liability, and suggests that there was a “liability crisis” at the time, and therefore an urgent need to find a better solution for those professions. At the same time, and as a consequence of the above considerations, this paper contemplates a new (at the time) hybrid business entity called a “Limited Liability Partnership” (or LLP) in which members of the partnership would be taxed directly for their share of the partnership’s income, yet at the same time could not be held liable for the debts and other liabilities of the partnership. This paper considers: 1. the various business entities in existence in Alberta at the time; 2. the reasons for limiting the liability of business owners; 3. the characteristics of professions which (at the time) required unlimited liability, and those that allowed limited liability; 4. the requirements in designing a professional limited liability entity; and possible new hybrid business entities which could solve the problems raised above.