Exploring Spatial Justice and the Ethic of Care in Corporations and Group Governance
In Creating Corporate Sustainability. Gender as an Agent for Change, Beate Sjåfjell and Irene Lynch Fannon (eds), Cambridge University Press, 2018
Posted: 16 May 2018
Date Written: May 16, 2018
The corporate group is an important legal construction enabling the parent company to prosper on the global platform. This chapter offers a regulatory approach to corporate behaviour within the corporate group. The foundation for corporate group governance is born out of two feminist theories: spatial justice and the ethic of care. The two theories align closely with an emerging jurisprudence manifesting in an example of recent case law, two pieces of legislation and two legal procedures. This chapter investigates whether or not the emerging jurisprudence can withstand two legal doctrines in corporate law; the corporate veil and limited liability. Spatial justice and the ethic of care define the corporate duty of care by providing better structure and substance. The parent company’s role in the parent-subsidiary relationship centres on legal due diligence which the parent must conduct on its corporate group. The parent company is therefore obligated to promote business sustainability across all subsidiaries by ensuring all entities are financially well-resourced, environmentally respectful and place ample importance on workers’ wellbeing. With a concrete legal structure for the corporate duty of care, parent companies and their corporate groups are required to operate in a way that respects the planetary boundaries.
Keywords: Corporate Veil, Corporate groups, Corporate Spaces, Spatial Justice, Parent-Subsidiary Relationship, Corporate Duty of Care, Ethic of Care, Feminism, Due Diligence
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