Ngo-Business Collaborations and the Law: Sustainability, Limitations of Law, and the Changing Relationship between Companies and Ngos

CORPORATE SOCIAL RESPONSIBILITY, ACCOUNTABILITY AND GOVERNANCE: GLOBAL PERSPECTIVES, Istemi Demirag, ed., pp. 314-329, Greenleaf Publishing, 2005

17 Pages Posted: 4 May 2006

See all articles by Kees Bastmeijer

Kees Bastmeijer

Tilburg University

Jonathan Verschuuren

Tilburg Sustainability Center; Tilburg University - Center for Transboundary Legal Development

Abstract

In this article, we sketch the possible consequences of the changing relationships between the government, companies, and NGOs in addressing various transboundary sustainability issues for national and international law. The reasons for dialogue and collaboration with NGOs go beyond the issue of "reputation management." We show that, in particular with regard to transboundary sustainability issues, the limitations of national and international law might further stimulate active relationships between companies and NGOs. Although we think that these limitations are often presented as too absolute, it is clear that the issues are too complex to be solved by government regulation alone. We show that the relationships between companies and NGOs may play an important role in respect of all elements of the regulatory chain: norm-setting, implementation, monitoring and enforcement, and dispute resolution. In some cases, NGOs and companies may decide to start partnerships: the influence of NGOs in such partnerships is essential. In other cases, NGOs may decide to keep a distance in order not to complicate their watchdog role. An interesting question for further research would be whether and how NGOs can keep this watchdog role within partnerships with companies. If the developments discussed in our paper continue, multinational corporations and NGOs may have to perform tasks that are usually performed by large bureaucratic governmental organizations, staffed with thousands of civil servants. Many NGOs will not have sufficient financial capacity and personnel to play this role. Parallel to its legislative role discussed above, the government should consider this problem as well. Once it is clear that the role of States is reduced in favor of a more active role of NGOs and multinational corporations, it seems almost inevitable that in the future governments offer NGOs financial and practical assistance.

Keywords: corporate social responsibility, NGOs

JEL Classification: K32, M14

Suggested Citation

Bastmeijer, Kees and Verschuuren, Jonathan, Ngo-Business Collaborations and the Law: Sustainability, Limitations of Law, and the Changing Relationship between Companies and Ngos. CORPORATE SOCIAL RESPONSIBILITY, ACCOUNTABILITY AND GOVERNANCE: GLOBAL PERSPECTIVES, Istemi Demirag, ed., pp. 314-329, Greenleaf Publishing, 2005. Available at SSRN: https://ssrn.com/abstract=899556

Kees Bastmeijer

Tilburg University ( email )

P.O.Box 90153
Tilburg, 5000 LE
Netherlands

HOME PAGE: http://www.tilburguniversity.nl/webwijs/show/?uid=c.j.bastmeijer

Jonathan Verschuuren (Contact Author)

Tilburg Sustainability Center ( email )

P.O. Box 90153
Tilburg, North Brabant 5000 LE
Netherlands
+31134668255 (Phone)

HOME PAGE: http://www.tilburguniversity.edu/tsc

Tilburg University - Center for Transboundary Legal Development ( email )

P.O. Box 90153
Tilburg, NL-5000LE
Netherlands
0031134668255 (Phone)
0031134668347 (Fax)

HOME PAGE: http://www.tilburguniversity.edu/webwijs/show/?uid=j.m.verschuuren

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