Unlimited shareholder liability in multinationals deemed inefficient and inequitable.
The article discusses the idea of holding controlling shareholders fully responsible for the debts of multinational companies. It compares this to other legal limits on liability in tort and contract law. The research shows that making shareholders personally liable may not be the best solution for unfair risk distribution in corporations. Instead, the author suggests a different approach: giving certain creditors priority in case of bankruptcy and making shareholders disclose their losses. This could be a more effective way to address corporate risk issues.