Can multiple LLCs safely use the same DBA without exposing all properties to liability in a lawsuit?
A DBA is not a separate legal entity — it’s just a trade name. Liability flows to the underlying LLC, not the DBA (RULLCA § 304). You can register the same DBA for multiple LLCs, depending on your state’s rules. However, if one DBA is sued, the lawsuit attaches to the specific LLC involved — not automatically to all LLCs.
Using the same DBA across separate LLCs does not merge liability. A lawsuit against one LLC does not automatically pull in the others just because they share a DBA.
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LLC Operating Agreement
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Hi! I’m emailing about obtaining a DBA for multiple entities. I have 5 different entities (rental properties). I’d like to create the same DBA for all of them — can I do that? And if the DBA is sued, will all my properties be included, or only the one involved?
Lexi, Chatbot
I understand managing multiple entities can be complex. Have you already registered the entities?
Yes.
Lexi, Chatbot
Are you looking to use the same DBA name for all five entities?
I would like to use the same DBA.
Lexi, Chatbot
Is there anything else the lawyer should know?
I want to know if I create the same DBA for all entities, can I do that? And if the DBA is sued, will all my properties be included?
Dan
Hello, my name is Daniel. To confirm — you want one DBA for multiple entities, right?
Yes, but if I get sued using the DBA name, will my properties be tied into the lawsuit?
Dan
A DBA is not a separate legal entity — it’s just a trade name. Liability flows to the underlying LLC, not the DBA (RULLCA § 304). You can register the same DBA for multiple LLCs, depending on your state’s rules. However, if one DBA is sued, the lawsuit attaches to the specific LLC involved — not automatically to all LLCs.
Using the same DBA across separate LLCs does not merge liability. A lawsuit against one LLC does not automatically pull in the others just because they share a DBA.
Okay, so to confirm: if all 5 LLCs have the DBA “Warehouses4Lease,” and someone sues “Warehouses4Lease,” it only applies to the property/LLC involved, not all 5?
Dan
Yes. However, practically, I recommend using different DBAs to avoid someone arguing the LLCs are “alter egos” of each other. Keeping them separate helps preserve liability protection.
If someone sues “Warehouses4Lease,” will they have to list an address? And if they don’t, will all my properties be included?
Dan
You don't want to give a plaintiff an excuse to claim all LLCs are really one operation. Sharing a DBA can create arguments about overlap. It’s safer to keep differences between LLCs — separate ownership, addresses, banking, operations, etc.
Okay, thank you!
Dan
All clear.
Thank you!
Dan
Thank you as well — happy to help anytime.
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