LLCs are the "hot" structure right now for a lot of things, but they don't necessarily have the case law to back them up. So it's possible that you could come up with a situation where there is no precedent.

That said, my co-founder (an attorney) set us up as an LLC initially (when we were doing consulting type work). We just switched over to an S-Corp because of investment requirements (we took seed funding). Also, VCs want you to be an S- or C-Corp