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Article

5 Aug 2002

Author:
Robert Hinkley, corporate lawyer, former partner in the New York law firm Skadden, Arps, Slate, Meagher & Flom, speech to Hershey Foods rally on 3 Aug. 2002, published on CommonDreams website

Let the Word Go Forth from Hershey, Pennsylvania That Americans Believe That Corporate Rights Come with Corporate Obligations

I suggest 28 words be added to the duty of corporations to advance the interests of shareholders--28 words that will balance the pursuit of the corporation's private interest with obligations to the public interest. I call these words the Code for Corporate Citizenship. The Code would simply modify the duty to maximize profits with affirmative obligations that profits not come "at the expense of the environment, human rights, the public health or safety, the dignity of employees or the welfare of our communities." Companies that violate the Code would be legally liable to the members of the public whose interest is damaged.