Corporate liability: Law Commission consultation on its next programme of law reform (corporate aspects)

Corporate liability: Law Commission consultation on its next programme of law reform (corporate aspects)

On 2 July 2013, the Law Commission published a consultation on the areas of law that should form part of its 12th programme of law reform.  As part of the consultation, the Law Commission has identified some areas of law that it considers may benefit from reform. One of the areas proposed by the Law Commission is whether there should be other models, apart from the identification doctrine, for holding corporations to account.

This proposal follows the Law Commission's 2010 consultation on criminal liability in regulatory contexts.  Although most of the proposals raised in that consultation have been implemented, the consideration of a small number of doctrines of liability applicable to businesses was put on hold pending a full project on corporate liability. The Law Commission is seeking views as to whether there should be a full project on corporate liability. This project would consider whether the question of liability should focus on other models of holding corporations to account, for example, on the basis of the harm arising from a blameworthy corporate culture. The Law Commission proposes that such a project could also consider recent and anticipated developments such as deferred prosecution agreements.

The consultation closes on 31 October 2013 and the Law Commission expects to submit its proposals to the Lord Chancellor in summer 2014. If approved, the proposals will form part of the Law Commission's law reform work over the following three years.

Source: Law Commission: Consultation for the 12th Programme of Law Reform: Corporate liability and Law Commission: 12th Programme Consultation.


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