Rising defaults in the financial market in 2007, the current widespread economic recession and debt crisis have added impetus to existing doubts about companies’ governance, and cast new light on future trends in shareholder-oriented corporate practice. Taking account of these developments in the field and realising the current need for changes in governance, this book offers a thorough exploration of the origins, recent changes and future development of the corporate objective—shareholder primacy. Legal and theoretical aspects are examined so as to provide a comprehensive and critical account of the practices reflecting shareholder primacy in the UK. In the wake of the financial crisis, this book investigates the direction of future policy, with particular attention to changes in governing rules and regulations and their implications for preserving the objective of shareholder primacy. It examines current UK and EU reform proposals calling for long-term and socially-responsible corporate performance, and the potential friction between proposed legal changes and commercial practices.
This book will be useful to researchers and students of company law, and business and management studies.
Introduction Part 1: The Basis Of Shareholder Primacy in the UK 1. Corporate Governance: Concepts and Mechanisms 2. The Corporate Objective Mapped in Theories and Legal Practices I: Shareholder Primacy through the Economic Lens 3. The Corporate Objective Mapped in Theories and Legal Practices II: The Feasibility of the UK Moving Towards the Stakeholder End Part 2: Forces Driving UK Corporate Governance Reforms 4. The Force of EU Harmonisation Action and its Effect in Transforming the UK Shareholder Part 3: Recent Changes in UK Company Law and Corporate Governance 5. Recent Changes in UK Company Law and Corporate Governance Part 4: Future Predictions 6. Exploring the Rationale of Sharehole Primacy in the UK 7. The Way Forward in the Wake of the Crisis Conclusion
The credit crunch of 2007 and the ensuing financial crises have led to a renewed interest in the place of corporations in the modern world and the role of law and regulation in governing their behaviour. This series looks to survey the current developments within the field of corporate law as well as mapping out future opportunities for change. The series offers a comparative approach to the subject, looking not just at North America and Europe but also at the state of affairs elsewhere in the world. Written by influential scholars, the books offer thought-provoking and often critical analyses of corporate law. The functions and legal obligations and rights of multiple stakeholders including directors, investors, governments and regulators are examined from both empirical and theoretical standpoints. Whilst being grounded in law the series also draws upon research from the disciplines of economics, management studies, sociology and politics in order to explore the implications of corporate law in their wider social and economic context.