Limited Liability, Shareholder Rights And The Prob

Cambridge Journal of Economics 2010, 34, 837856 doi:10.1093/cje/ben040 Advance Access upshot 28 November 2008 express liability, sh areholder rights and the problem of incarnate irresponsibility paddy field Ireland* There has long been a declension to see the incorporate jural formulate as directly constituted as sparingally determined, as the more or less indispensable product of the demands of advanced technology and economic ef?ciency. Through an examen of its historical development, focusing in event on the conception of prevalent curb liability and the victimisation of the modern teaching of separate corporate personality, this paper takes out with this view, arguing that the corporate legal form was, and is, in great(p) part a political construct developed to carry and protect the rentier investor. It is, moreover, a construct which institutionalises irresponsibility. Against this backdrop different slipway of trying to fragment the problem of corp orate irresponsibility are explored. The key, the paper suggests, is to be found in decoupling the privilege of limited liability from rights of control. mention words: Corporate governance, Corporate irresponsibility, Limited liability, Rentier investment JEL classi?cations: B10, B20, B50, K00, L00, N00, D20 Downloaded from hypertext transfer protocol://cje.oxfordjournals.

org/ by guest on March 31, 2012 1. Introduction Free incorporation by accommodation came to Britain in 1844, followed in 1855 by general limited liability, effectuateting in place two of the primaeval elements of the corporate legal form that has come to dominate business line organisatio! n somewhat the world. There has long been a tendency to see the emergence of the corporate legal form as not requiring a good deal in the way of explanation. It is widely regarded, as one aggroup of corporate law scholars recently put it, as bring forth by economic exigencies (Kraakman et al., 2004, p. 1). Its key elementslegal personality, limited liability, movable shares, delegated management and...If you want to get a full essay, effect it on our website: OrderCustomPaper.com

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