In many states such as Connecticut the corporate/LLC shield protects the officers and directors from contract breach liability but not tort liability. In Connecticut the scope of their services as a corporate director/officer does not include tortious conduct. Consequently, since they exceed to scope of their corporate duties they become personally liable whether the tort is perpetrated in their personal or corporate capacity.

The drawback is that torts are more difficult to prove at trial than contract breach. The Plaintiff really has to do extensive discovery (depositions, requests for production of documents, interrogatories, requests for admissions). The usual burden of proof in a civil matter is proof by a preponderance of the evidence (51% certainty that the facts alleged by the plaintiff are true...that more likely than not the facts alleged by the plaintiff are true).

However, in tort  cases there may be a heightened burden of proof. In Connecticut fraud cases must be proved by clear and convincing evidence. That is a burden of proof that lies somewhere between the preponderance of the evidence required in most civil trials and the proof beyond a reasonable doubt required in criminal cases.

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