The purpose of this study was to trace the history of the Icelandic commonwealth, from the rise of the independent Icelandic State 930 A.D. to its collapse 1262 A.D. Efforts were made to analyze the different theories on the reasons for the early settlement, as well as the reasons for the establishment of a general state, and then later the reasons for the collapse. In the Icelandic system there existed a complex legal and judicial order without any central executive power, with private enforcement of law. Although it is difficult, now, to determine the attractiveness of this system, e.g., in comparison to other European Nations at that time, the theoretical interest remains the same. / Master of Arts