Nexus of Contracts

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Nexus of Contracts

Any contract or other thing that is related to anything else, especially something that causes something else.
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This question is addressed by nexus of contract theorists, who argue that while shareholders do not own corporations it is in the best interests of the firm and the economy as a whole that they be given control rights.
In this nexus of contracts perspective, ownership of the firm is an irrelevant concept.
Kenneth Ayotte, Northwestern University, and Henry Hansmann, Yale University, "A Nexus of Contracts Theory of Legal Entities"
The business of Allianex is based on a nexus of contracts by which it retains a supply of technology support and security services and then distributes such services by means of prepaid cards through retail store aggregators.
Kenneth Ayotte, Northwestern University Law School, and Henry Hansmann, Yale University, "A Nexus of Contracts Theory of Legal Entities"