The Quest for Limited Liability Is Ancient, Not a Modern Revolution

Limited Liability In Historical Perspective (1997) [pdf]

Robert W. Hillman argues that the recent emergence of LLCs and LLPs is evolutionary, not revolutionary. For as long as commerce has existed, merchants have sought to limit and shift liability, from Roman noxal liability and the peculium to modern business forms. The article samples diverse historical periods to show that the drive for limited liability is an ancient activity in the law, and that ignoring this history leads commentators to excess excitement over supposedly new developments.