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The common law divided commercial associations into associations and corporations;

As incorporated companies arose without the governmental commands, they Could be considered only as associations so, participants bore The unlimited liability for debts of the company. It had no big

Significances for the prospering companies, but it was extremely essential in

Opposite case. A source of the second weakness was that courts did not recognise

Their lawful legal bodies, and because of it they had to use Difficult enough legal receptions to achieve on court of observance of the The property rights and fulfilment of contracts.

The third weakness - the heritage of the Roman right strengthened by interests of a crown and

Submission that any association of citizens potentially acted Represents plot against the state; therefore any private The association did not admit lawful until its existence not

Received the due sanction of the imperial authorities. Robert Nisbet formulates it

As follows: "... The doctrine of the Roman right about concession is remarkable,

According to which any group or association however it is deep it was

It is implanted in the history and traditions and irrespective of human fidelity and

Fidelities of its members, could not apply for a legal status, on the legal Until this status and this existence did not receive existence

Recognition of the monarch "Robert Nisbet, p. 170, Twilight of Authority (New York: Oxford

University Press, 1970). Submission about corporation, as about the legal fiction created exclusively

The political certificate of the state, always interfered with development of corporations as

Economic institutes. Sir Frederik Pollock also connected this submission With the concession doctrine: "... On all continent the public law assumes, What is the associations should not form without the state sanction "A First Book of Jurisprudence, 1923), 5th ed. (London: Macmillan AND

Co., pp. 115 - 116, Sir

Frederick Pollock. Only when associations in the form of the political

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