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Introduction to Company Law

Introduction to Company Law (2nd edn)

Paul Davies
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date: 25 October 2021

9. Shareholder Controllocked

9. Shareholder Controllocked

  • Paul DaviesPaul DaviesAllen & Overy Professor of Corporate Law, University of Oxford


Celebrated for their conceptual clarity, titles in the Clarendon Law Series offer concise, accessible overviews of major fields of law and legal thought. This chapter examines shareholder control rights under British company law. It presents the following arguments: that there are good reasons for shareholder control of companies (i.e. that this model of allocation of control rights is not arbitrary); that, however, different allocations of control rights are perfectly conceivable and are to be found in practice, both in the UK and more so in some other European jurisdictions; and that the choice among the various possible allocations of control depends on one's view of how large organizations are best structured for the production of goods and services in the modern economy.

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