wealth-constrained and protected by limited liability. It turns out that joint ownership can be optimal, since it avoids … wasteful rent-seeking activities when limited liability rents are necessary to induce high effort. Our results are in line with …

economic importance of the corporate form's hallmark features: legal personality, limited liability, transferable shares …

pay their debts?This Article argues that security interests are best understood as a form of “limited liability property ….” Limited liability—the privilege of being legally shielded from liability that would normally apply—has long been considered … the quintessential feature of equity interests. But limited liability is in fact a critical feature of security interests …