57. Legal Framework – 'Nondominium'
Two complementary agreements
Collective agreement between stakeholders jointly
Associative agreement between stakeholders
individually or severally
58. Collective Agreement
Governs creation, issue and exchange of Stock, holds
bank accounts and title/transaction registries
Stakeholders have negative veto rights
Interfaces with people and organisations (legal
persons)
59. Associative Agreement
User – pays for the use of productive asset (land,
energy, IP)
Manager – receives a proportional share in the flow of
use value
Investor – acquires Stock consisting of 'unitised' use
value sold forward at a discount
Complementary to the collective agreement – akin to a
'for profit' limited company's shareholder agreement
60. Nondominium - Outcomes
A consensual non-statutory 'development corporation'
Neutral – removes ego and politics
Collaborative - stakeholder interests aligned – no
principal/agent problem
Social Business – shared surplus/ 'not for loss' -
relationship-based not transaction-based
Sustainable - everyone has an interest in minimising
cost of use over time
62. Stock 2.0 – Back to the Future
Stock - an undated credit returnable in payment for use
value of productive asset
Sold at a discount – eg £1.00 of Rental Stock sold for
80p gives an absolute return of 25%
Rate of Return is literally the rate at which Stock may
be returned to the issuer
Rate is not fixed, but depends on whether there is a
flow and what it is
63. Stock - Outcomes
Competitive - no compound interest
Secure – no default risk, and the more affordable the
rental, the more secure the return
Liquid – single asset class, not fragmented by date or
interest rate
Liquid – Manager will always buy Stock on behalf of
Users for redemption at best offer < or = to £1.00
