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- W1787933861 abstract "In 2013, the Colorado General Assembly enacted H.B.13-1138, the Public Benefit Corporation Act of Colorado (PBCA). A Colorado public benefit corporation (PBC) must identify a public benefit purpose in its Articles of Incorporation. The directors, in managing the business and affairs of the PBC, must balance the pecuniary interests of the shareholders, the interests of those materially affected by the corporation's conduct, and the public benefits identified in the Articles of Incorporation. B Lab Company has been promoting the benefit corporation concept since the mid-2000s as a means of supporting corporations meeting a corporate social responsibility theme. Whether the protections offered by the benefit corporation legislation was necessary or merely convenient has been a topic of debate. In June 2014 the U.S. Supreme Court decided the Hobby Lobby cases which held (in part) that profit maximization was not the only permissible corporate goal, even for a for-profit corporation. In 2015, Delaware Chief Justice Leo E. Strine, Jr., published a paper on SSRN discussing Delaware common law and the DGCL as it impacts the ability of directors consider alternative constituencies apart from shareholder wealth maximization. This also impacts the consideration between whether a corporation desiring focus on social responsibility in addition profit should select a public benefit corporation format, amend its articles of incorporation identify the additional purposes, or rely on the general statement in the articles to conduct any lawful business.This paper has been updated reflect the possible impact of Hobby Lobby and discusses Chief Justice Strine's paper in the section entitled Why a Public Benefit Corporation Rather Than A Non-PBC?.The paper also has appended a form addendum the articles of incorporation which adopts and enhances the Public Benefit Corporation Act provisions of the Colorado Business Corporation Act. The PBCA provisions are identified with yellow highlighting and includes statutory references." @default.
- W1787933861 created "2016-06-24" @default.
- W1787933861 creator A5052350045 @default.
- W1787933861 date "2013-01-01" @default.
- W1787933861 modified "2023-09-23" @default.
- W1787933861 title "The Long and Winding Road to Public Benefit Corporations in Colorado" @default.
- W1787933861 doi "https://doi.org/10.2139/ssrn.2266654" @default.
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