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12 February 2020
Issue: 7874 / Categories: Legal News , Human rights
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Preventing corporate human rights harms

UK businesses want certainty on how to avoid human rights abuses
A ‘failure to prevent’ law similar to the Bribery Act could be introduced for human rights concerns, a major report has concluded.

The study, by the British Institute of International and Comparative Law (BIICL), with the support of global law firms Hogan Lovells and Quinn Emanuel, looked at the impact of the Bribery Act 2010 and considered the legal feasibility of a corporate duty to prevent human rights harms.

The report, ‘A UK failure to prevent mechanism for corporate human rights harms’, sets out a model legal provision. It is based on s 7 of the Bribery Act and would apply to ‘human rights’, which would be defined to include environmental harms. BIICL recommends that it apply to all sizes of companies carrying out business in the UK, including SMEs. However, ‘guidance should clarify the recognition that any due diligence processes should be proportionate to their size and the complexity of their operations’. The defence would be that ‘reasonable due diligence’ was carried out. Civil remedies would be available.

The report includes the results of a business survey, which found 69% of UK companies and multinationals want more legal certainty about which procedures are required to avoid legal risks for human rights abuses.

The majority of respondents thought more regulation would benefit business―82% agreed it would provide legal certainty, 74% thought it would level the playing field and 75% said it would create a non-negotiable standard to facilitate leverage with third parties.

Quinn Emanuel partner Julianne Hughes-Jennett said: ‘The direction of travel is clear: we will see more regulation, in particular, in relation to human rights due diligence.

‘It is important any such regulatory developments provide legal certainty and a level-playing field.’

BIICL senior research fellow Lise Smit, said: ‘Although each jurisdiction would need to develop its legal mechanism to fit within its own legal system, these developments are all based on the framework of the UN Guiding Principles on Business and Human Rights.’

 

Issue: 7874 / Categories: Legal News , Human rights
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MOVERS & SHAKERS

Constantine Law—Anita Vadgama

Constantine Law—Anita Vadgama

New senior partner hire at consultant-led employment / regulatory law firm

Ward Hadaway—Emma Swann & Jill Donabie

Ward Hadaway—Emma Swann & Jill Donabie

Firm adds two partners to growing education practice

mfg Solicitors—Lauren Collins, Emily Stancer & Sara Southall

mfg Solicitors—Lauren Collins, Emily Stancer & Sara Southall

Trio of newly qualified solicitors strengthens Worcester office law firm

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A sprawling Intellectual Property Office battle between House of Fraser and Frasers Property has delivered a masterclass in modern trade mark law
Courts in England and Wales and Singapore are increasingly confronting complex disputes over international child relocation as families become more globally mobile
The government’s long-awaited family law reform consultation could mark a turning point for domestic abuse victims navigating financial remedy proceedings, but significant challenges remain
A new commercial court pilot giving the public access to documents used in hearings, including expert reports, is raising difficult questions about transparency and privacy
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