Shareholders’ rights in the early Italian companies: Agency problems and legal strategies

Abstract

The roots of the modern Italian company law are in the French Code de Commerce of 1807 that shaped the basic traits of these entities, recognizing their legal personality, their capitalistic nature, and the limited liability of the shareholders (Ungari 1974, 32). Before that moment the early Italian companies established in the different states that would become the Kingdom of Italy in 1865 underwent multifaceted experiences. In part, these companies were influenced by the legal and economic situations of the pre-unitary states where they were based, but they were also inspired by the Dutch and English East India companies, and displayed significant common traits.