Benefit Corporation Legislation

Issuer name

States

Issuer notes

Local Government

Government ministry

Other

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

NA

ESG coverage- G (Governance)

Structure & Leadership