All Commentary
Wednesday, January 4, 2012

Businesses Seek State’s New ‘Benefit Corporation’ Status

“California’s new category allows corporations to officially adopt policies ‘that create a material positive impact on society and the environment’ as an integral part their legal charter. The Huffman legislation also expands the fiduciary duty of executives and board members to include the interests of workers and the community. . . .

Corporate law specialists at the State Bar of California opposed the bill, arguing that it did not clearly spell out the responsibility of company officials to shareholders.” (Los Angeles Times)

New terminology dressing up the same old government shield for corporate power.

FEE Timely Classic

Profit: Not Just a Motive” by Steven Horwitz