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Yes, this is the real legal accomplishment of B-Corps! By law and precedent a C-Corp’s only obligation is to shareholders, thanks to a case from almost a centu
by sirspacey 2y ago
Yes, this is the real legal accomplishment of B-Corps!
By law and precedent a C-Corp’s only obligation is to shareholders, thanks to a case from almost a century ago: https://en.m.wikipedia.org/wiki/Dodge_v._Ford_Motor_Co.#:~:text=Ford%20Motor%20Co.,-Article&text=Article-,Dodge%20v.,of%20his%20employees%20or%20customers https://en.m.wikipedia.org/wiki/Dodge_v._Ford_Motor_Co.#:~:t....
A B-Corp was the first and somewhat successful attempt to create a legal framework where company executives are allowed to work on behalf of all their stakeholders without it creating an automatic basis for a suit.
Generally, people who care very deeply about a thing bring a higher ethical standard than any regulatory body can impose.