The Convergence and Divergence of Legal Forms of Enterprises: Is Lithuanian Legal Regulation Attractive in International Context?, 2017

Authors of the scientific study: L. Mikalonienė, V. Mikelėnas, P. Miliauskas, V. Mitkevičius, A. Tikniūtė

After regaining its Independence, Lithuania was in a hurry to create a new legal system, thus the efforts were not always as consistent as they could have been and still cannot be characterised as stable. More than a quarter of a century has already passed since the day Lithuania regained its Independence, therefore, it may and even must be worth taking a look at the quality of legal regulation of the business sector in Lithuania with the aim to answer the question of what actually hinders Lithuania’s economic progress and the growth of entrepreneurial potential of its population.

With this aim in mind, several scientists of the department of Private Law of Vilnius university with a scientific interest in company law and general issues of legal regulation of the business sector came up with the idea of the study that is now being presented to the readers. Scientists decided to perform a comparative analysis of the legal regulation of different legal forms for enterprise organisation in other countries in the world with the aim to compare it with the current situation in Lithuania and to determine whether the legal regulation of their operations in Lithuania should be improved and, if yes, then what should be the actual focus of such improvements. Out of the vast variety of legal forms of enterprises that exist in Lithuania the following most frequent forms were chosen for the purpose of this analysis: sole proprietorship, public limited liability company, limited liability company, partnership and small partnership. The study covers six foreign countries, such as Germany, France, the Netherlands, Sweden, the United States of America and the United Kingdom. The choice of countries was determined by their place in the global economy and a number of other factors.

The aim of the study is to compare the existing legal regulation in Lithuania with that in selected foreign countries in order to assess the current situation in Lithuania and make constructive suggestions for further improvements, including recommendations to the legislator. This publication may also come in handy for practicing lawyers and can be used as a teaching aid in the process of legal and economic studies.

This scientific study was financed by the Research Council of Lithuania.