Law and the Rise of the Firm

By Henry Hansmann, Reinier H. Kraakman, Richard Squire. 2006

270 citations recorded by the source corpus.

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Presidential Address: The Corporation in Finance (2012, background): “Furthermore, entity shielding (see Hansmann, Kraakman, and Squire (2006)) ensures that the personal creditors of owners or employees, or minority owners, cannot lay claim to the corporation’s assets— the assets are held together in the firm, and will be sold only if the firm’s owners collectively…”
Where do transactions come from? Modularity, transactions, and the boundaries of firms (2007, background): “These concepts, which evolved in English and American common law over 400 years (Hansmann et al., 2006), had the effect of completing the ring of transactions around business firms.”
Beyond Public and Private: Toward a Political Theory of the Corporation (2013, background): “…is more, it would lead existing shareholders to oppose tradability so as to protect their investments from an influx of financially weak investors, who would have incentive to purchase shares with the object of using firm assets as personal collateral (Hansmann, Kraakman, and Squire 2006, 1350).”
Are Asset Securitizations Sales or Loans (2008, unknown): “6 Hansmann, Kraakman, and Squire (2006) arrives at the more general insight that the corporation exists as a business structure not only to limit the liability of stockholders, but also to protect the claims of the corporation’s debtholders from being diluted by claimants of the stockholders’…”