• Doing Good While Doing Well — Delaware Is the 19th State to Adopt Public Benefit Corporation Law
  • July 30, 2013 | Authors: Cynthia G. Fischer; Sekou Lewis
  • Law Firms: Schnader Harrison Segal & Lewis LLP - New York Office ; Schnader Harrison Segal & Lewis LLP - Philadelphia Office
  • A new Delaware law authorizing the creation of public benefit corporations (“PBCs”) in Delaware becomes effective on August 1, 2013. PBCs are a new type of socially conscious for-profit corporation intended to operate in a responsible and sustainable manner. While PBCs operate on a for-profit basis and pay income taxes, they are unique in that they are managed in a manner that balances the pecuniary interests of its stockholders with persons, entities or communities that are materially affected by the corporation’s conduct. Delaware is the 19th state to adopt such legislation.