Business Risk and Corporate Responsibility
Failing to address human rights issues creates significant business risk. The publication of the UNGPs formalized the responsibility of corporations to respect human rights. This increased pressure and stakeholder focus on corporations to identify and address human rights issues across their businesses.
In addition to risks of non-compliance with a growing body of human rights legislation, failing to address business and human rights issues can lead to reputation and brand damage, expose businesses to litigation risk for actions at home and abroad, undermine a business’s “social licence to operate” and challenge its access to financing.
While the legal landscape of BHR is still evolving, it is critical for businesses to engage proactively and constructively with BHR risks as these risks continue to grow in salience as both legal and strategic imperatives for businesses.
For an overview of potential liability under negligence and tort law, see the Disputes between Canadian companies and foreign litigants section.
- Criminal sanctions for businesses
- Directors and officers’ liability
- Business partners’ conduct
- Disclosure requirements
- Best practices