ABSTRACT
This chapter discusses the multinational corporation (MNC) role in relation to the scope of the OECD Guidelines. The first source of accountability is based on soft law, such as a corporation's commitment to ethical behavior and philanthropy as reflected in the United Nations Guiding Principles on Business and Human Rights. The second source of accountability relates to civil wrongs. The third source of accountability in the private sphere is a product of the contractualization of human rights obligations in agreements between host states and corporations. Rather, it is vital to acknowledge the multi-directional relationship between the three normative sources. Corporate social responsibility (CSR) policies are usually internally drafted documents. The majority of tortious claims involve a tortfeasor and a victim domiciled in the same state, and concerns a local harm. Further, soft law can be particularly effective when supported by contracts, such as the Equator Principles, or by hard law.
