chapter  8
The foundation for a global company law for multinational corporations: The complementary role at the international level
Pages 12

The modern world has been transformed by globalisation and national boundaries are increasingly disappearing. There are institutional elements resembling a world government: the United Nations; world banking insti­ tutions: the World Bank and the International Monetary Fund and inter­ national courts: the International Court of Justice and the International Criminal Court. Also, interestingly, international legal personality is expanding. Over the years, it has expanded to include non state actors: intergovernmental organisations and individuals. Multinational corpora­ tions (MNCs) are recognised as major actors in the globalisation process. However, the international regulatory agenda has not paid sufficient atten­ tions to MNCs. Their regulation has remained largely confined to the domestic forums. The inadequacies of domestic law to grapple with the concept of MNCs and the failure at international law to deal effectively with it have led to regulatory problems and the attempts to fill these gaps with corporate social responsibility initiatives. This chapter argues that part of the solution may lie in establishing the locus for the international regulation of the company as a method of doing business. This will involve developing the concept of international company (IC) with an international corporate personality (analogous to corporate personality under domestic law) under an international company law framework to fill the regulatory gaps. This approach will facilitate the effective regulation of MNCs.