CORPORATE GOVERNANCE IN THE 19TH CENTURY: EVIDENCE FROM THE CHESAPEAKE AND OHIO CANAL COMPANY

Presenting evidence from a 19th century corporation, the Chesapeake and Ohio Canal Company (C& O), the paper shows that issues of corporate governance have existed since the first corporations were established in the U. S. The C& O used a stockholder review committee to review the annual report of the president and directors.The paper shows how the C& O stockholders used this committee to supplement the corporate governance structure. The corporate governance structure of the C& O is also viewed from a theoretical structure as espoused by Hart [1995].