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Benefit Corporation Legislation

United States of America Current 2012

This State legislation authorizes the organization of Benefit Corporations. A benefit corporation is a traditional corporation with modified obligations committing it to higher standards of purpose, accountability and transparency.

Issuer name


Issuer notes

Local Government

Government ministry


More information

Benefit corporations: 1) have a corporate purpose to create a material positive impact on society and the environment; 2) are required to consider the impact of their decisions not only on shareholders but also on workers, community, and the environment; and 3) are required to make available to the public an annual benefit report that assesses their overall social and environmental performance against a third party standard. As of 2016, the Benefit Corporation legislation had been passed in 31 States (see notes) and was introduced in at least 7 States.

Organizations covered by the instrument

All Companies

Target organization notes

For-profit corporate entity (of any size) that includes positive impact on society, workers, the community and the environment in addition to profit as its legally defined goals.

Industry scope

All/none specified

Disclosure venue


ESG coverage- G (Governance)

Structure & Leadership




United States of America


North America

Date of publication


Issuer type

Governments (governmental department, agency)

Reporting requirements

Public law and regulation

Mandatory or voluntary


The geographical scope


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