This article uses a case study to illustrate the dynamics of firm structure and property rights in Brazil during the nineteenth and twentieth centuries. The St. John d'el Rey Mining Company was a British mining company in Brazil. Its experiences demonstrate that, property rights were not under-specified; they were over-specified and varying provisions for rights were mutually inconsistent. Precise laws protected capital investment to such an extent that dissolving partnerships became problematic. At the same time, inheritance laws mandated partible division of personal estates among heirs. The mining company's history demonstrates the opportunities for posthumously emerged heirs, essentially, to claim partnership rights.
All Science Journal Classification (ASJC) codes
- Business, Management and Accounting (miscellaneous)