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B Corporation

Woodruff Sawyer

Balancing Profit and Purpose: The Rise of Public Benefit Corporations and Their D&O Risks

Woodruff Sawyer on

The organization known as B Lab certifies B Corporations. To obtain this certification, companies have to meet strict social and environmental standards, including annual reporting. This certification signals to consumers...more

Allen Matkins

In Determining Whether A Corporation Qualifies As A Religious Corporation, Words Speak Louder Than Actions.

Allen Matkins on

California readers most likely are aware of the fact that California's nonprofit corporate law is triadic.  Thus, it possible to organize a nonprofit corporation as a public benefit corporation, a mutual benefit corporation...more

Allen Matkins

When Must A Proxy Include The "General Nature Of The Matter To Be Voted On"?

Allen Matkins on

The California Nonprofit Corporation Law defines a "proxy" as a "written authorization signed by a member or the member's attorney in fact giving another person or persons power to vote on behalf of such member".  Cal. Corp....more

Allen Matkins

Not Every California Corporation Is Governed By The California General Corporation Law

Allen Matkins on

The California General Corporation Law is part of the California Corporations Code, but not every corporation incorporated in California is formed or governed by the General Corporation Law.   In fact, the Corporations Code...more

Allen Matkins

For How Long Is That Proxy Valid?

Allen Matkins on

Section 705(a) of the California Corporations Code provides that no proxy is valid after the expiration of 11 months from the date thereof unless otherwise provided in the proxy.  This is a reflection of the fact that proxies...more

Allen Matkins

When Cumulative Voting Precludes Election Of Directors By Ballot

Allen Matkins on

The California Nonprofit Mutual Benefit Corporation Law contemplates three different methods for members to take action: at a meeting, by ballot, and by unanimous written consent.  Cal. Corp. Code §§ 7512(a), 7513 & 7516. ...more

Farella Braun + Martel LLP

Nonprofit Basics: How To Wind up a California Charity

Welcome to EO Radio Show – Your Nonprofit Legal Resource. I'm Cynthia Rowland, and episode 49 of EO Radio Show summarizes the steps to wind up a charity that is a nonprofit corporation registered and operating in California....more

Allen Matkins

Articles Of Incorporation Doom Representational Standing

Allen Matkins on

The Short Term Rental Alliance of San Diego is an advocacy and education organization whose members include landlords and hosts with at least one single-family short-term rental property located in the “San Diego Coastal...more

Vicente LLP

Forming Psychedelic Companies: 10 Lessons from the Cannabis Industry

Vicente LLP on

A new industry is emerging in the United States, and entrepreneurs in the psychedelics space must make critical decisions at the onset of new ventures regarding how to set up and structure their new businesses. While there is...more

Allen Matkins

The Superior Court Has The Authority To Determine The Validity Of Board Elections, But What About Recalls?

Allen Matkins on

Section 709 of the California Corporations Code provides a mechanism for "any shareholder" or "any person who claims to have been denied the right to vote" to obtain a determination by the Superior Court of the validity of...more

Allen Matkins

Don't Even Think About Trying To Enforce These Voting Agreements

Allen Matkins on

The California Nonprofit Corporation Law is actually three different laws - the Nonprofit Public Benefit Corporation Law (Part 2), the Nonprofit Mutual Benefit Corporation Law (Part 3), and the Nonprofit Religious Corporation...more

Robins Kaplan LLP

The ABCs of PBCs: How This Relatively New Corporate Form Mandates a Broader View of Business

Robins Kaplan LLP on

Socially beneficial causes now play a large role in consumers’ and employees’ decision-making. A recent survey from 2021 shows that 44% of millennials and 49% of Gen Zers reported making choices about the type of work they...more

Allen Matkins

Must A Nonprofit Abnegate Private Gain?

Allen Matkins on

The California Corporations Code includes provisions governing a wide variety of nonprofit organizations.  However, the "Big 3" categories of nonprofit corporations are the public benefit, mutual benefit and religious...more

Rivkin Radler LLP

Unreasonable Compensation As Constructive Dividend, Redux

Rivkin Radler LLP on

An often-explored theme of this blog is the frequency with which similarly situated owners of similarly situated closely held business, facing a similar set of economic circumstances, and presented with a similar set of...more

Wilson Sonsini Goodrich & Rosati

Converting to a Delaware Public Benefit Corporation: Lessons from Experience

The past two years have seen a dramatic shift in practice relating to the Delaware public benefit corporation (the PBC)—a corporate form that requires the board of directors to balance stockholders' monetary interests, the...more

ArentFox Schiff

2022 Sparks Opportunity for AgTech Certified B Corps With Environmental, Social, and Corporate Governance (ESG) Goals

ArentFox Schiff on

The role of environmental, social, and corporate governance (ESG) factors in capital allocation and investment decisions are poised to take center stage in 2022. A trend that entered the mainstream with a statement from the...more

White & Case LLP

Q&A: A global movement to use business as a "force for good"

White & Case LLP on

Holly Ensign-Barstow, the Director of Stakeholder Governance and Policy for B Lab, a nonprofit that certifies companies as B Corporations, describes the benefits of making sure a company's operations and business model...more

Allen Matkins

Court Of Appeal Imposes "Continuous Directorship" Requirement For Standing

Allen Matkins on

Several provisions of California's Nonprofit Public Benefit Corporation Law confer standing on an officer, director, or member.   See Sections 5142,  5223, 5233, and/or 5710.   In an opinion issued yesterday, the Court of...more

Vicente LLP

[Webinar] Impact and ESG in the Cannabis Industry

Vicente LLP on

From investors and government officials to prospective employees and shareholders, the rapidly increasing focus on Environmental, Social, and Governance (ESG) practices is changing how businesses approach sustainability,...more

Saul Ewing LLP

Early Advocates of Organic Food Products, Amy’s Kitchen Believes in the Benefits of a Fully Regenerative Ecosystem and Aims to...

Saul Ewing LLP on

In this episode, host Jonathan Havens, co-chair of Saul Ewing Arnstein & Lehr’s Food, Beverage and Agribusiness (FBA) Practice, speaks with Paul Schiefer, senior director of sustainability at Amy’s Kitchen, which started in a...more

Barnea Jaffa Lande & Co.

Five Things You Didn’t Know about Impact Investing

In the last decade, impact investments have become an international trend to address global challenges in the areas of environment, welfare, health, employment, and education.   In light of the development of the impact...more

Kilpatrick

KEY TAKEAWAYS - Corporations v. “B Corps:” What Are They and Why Do They Matter?

Kilpatrick on

Benefit Corporations, Certified B-Corps™ and similar social purpose entities are gaining traction, especially with Generation Z aging into the prime consumer and investor generation. Still, there is confusion around what...more

Bowditch & Dewey

To B, or Not to B: Redemption Rock Becomes the 1st Massachusetts Certified B Corp Brewery

Bowditch & Dewey on

Although Redemption Rock Brewing Co. in Worcester has demonstrated an unwavering dedication to producing first-rate beers and a top-flight taproom experience, it recently announced that it was willing to settle for a B. After...more

Morrison & Foerster LLP

Capital Markets Embrace A Novel Corporate Form

In 2013, Delaware passed legislation adopting a new corporate form, the public benefit corporation (PBC), with a view to allowing directors of for-profit corporations to take actions not just in pursuit of stockholder...more

Perkins Coie

Making Sustainability a Stakeholder

Perkins Coie on

Consumers increasingly are aware of, and make value assessments and purchase decisions based on, the environmental and social impact of brands. Brands, in turn, are evaluating and embarking on sustainability programs. Before...more

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