The Responsible Stakeholder Model: An Alternative Theory of Corporate Law

Amodu, Nojeem

Abstract

The debate on corporate objective is open-ended. While some scholars argue it is already ‘end of history’ with the shareholder primacy theory, others contend that the future lies with the stakeholder-oriented progressive models of corporate law. This article contributes to this debate using the backdrop of corporate social responsibility (CSR). It synthesises a few corporate law theoretical approaches and develops an alternative model called the responsible stakeholder model (RSM). The author argues that corporate objectives can be better understood within the framework of the RSM and that corporate actions (including CSR activities) are better measured using the assumptions of the RSM. The article touts RSM as an effective policy response to stakeholder rights abuses using the corporate form and capable of reducing incidences of ‘greenwashing’.

Citation

Amodu, N. (2018). The Responsible Stakeholder Model: An Alternative Theory of Corporate Law. Journal of comparative law in Africa, 5(1), 1-36

• Journal Article Type: Article
• Acceptance Date: Feb 28, 2018
• Online Publication Date: Jan 1, 2018
• Publication Date: Jan 1, 2018
• Deposit Date: Dec 5, 2019
• Journal: Journal of Comparative Law in Africa
• Print ISSN: 2311-6889
• Electronic ISSN: 2521-2605
• Peer Reviewed: Peer Reviewed
• Volume: 5
• Issue: 1
• Pages: 1-36
• Related Public URLs: http://hdl.handle.net/10520/EJC-f991aae1f
• Additional Information: Copyright Statement : © 2020 JUTA