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Re:Companies Shouldn’t Be Accountable Only to Shareholders by sokoloff on Wednesday August 15, 2018 @10:48AM (#17766417)
From a reading only of the WSJ article (no additional research), I would be inclined to oppose it on Constitutional grounds, as a States' Rights issue. I see no standing that the federal government has to force all companies with $1BB in annual revenues to get a federal charter. (Feds have the power to regulate foreign/interstate commerce, so over $1BB in interstate/foreign revenue is a threshold with a chance at having Constitutional standing, though it's still a stretch from there to say the feds have the power to force specific corporate governance practices unrelated to commerce itself.)

I doubt this will go anywhere (I think it's another grandstanding issue for the Bernie-types), but if it does, I'd expect a challenge (with a reasonable chance of success) on Constitutional grounds (see Article 10).

Re:Companies Shouldn’t Be Accountable Only to Shareholders by fixermark on Wednesday August 15, 2018 @10:56AM (#17766478)
1) As of the Great Depression (approximately), it's understood the Fed's interstate commerce regulatory authority extends to intrastate commerce, on the grounds that the economy of one state impacts the economy of adjacent states---i.e. if Idaho discounts potato sales from Idahoans to Idahoans, and as a result depresses the potato demand from the farms of neighboring states, the Federal government can intervene on what is a completely Idaho-internal policy. It is under this theory that the Fed prohibits certain drugs (even if the drugs were manufactured and sold completely in-state).

2) Given that corporations exist only as a legal construct, I'm pretty certain that the government has a great deal of lattitude in what it can compel corporations to do or refrain from doing. It's worth noting that the US law also treats corporations as people; however, it does so because of the law itself (1 U.S.C. §1); modifications to that law can alter the nature of corporations in US law.

Re:Companies Shouldn’t Be Accountable Only to Shareholders by sokoloff on Wednesday August 15, 2018 @11:07AM (#17766568)
Re 2: It's clear that some government has a great deal of latitude. The Constitutional question is whether the federal government has that latitude on a governance (not commerce) topic.
Re:Companies Shouldn’t Be Accountable Only to Shareholders by craftyguy on Wednesday August 15, 2018 @04:15PM (#17769348)
> Feds have the power to regulate foreign/interstate commerce

Are there any companies with >$1bn annual revenue that do not do business outside the state that chartered them? If not, then it would seem this could fall under the 'power to regulate foreign/interstate commerce', no?

Re:Companies Shouldn’t Be Accountable Only to Shareholders by Y_Y on Wednesday August 15, 2018 @12:17PM (#17767207)
I'm inclined to agree with you, your point about constitutionality is well taken. I know we're getting into thorny political philosophy at this point, but I'd be inclined to support this bill, even if there is a good case to be made that it's unconstitutional. In my opinion, any purpose served by having a constitution is in the benefit of the people and the state, if the constitution proscribes something that would definitely benefit the state, then it is the constitution which is wrong.

Whether or not this would be ultimately beneficial, or the principle that the constitution is trying to protect here (don't interfere in the affairs of lawful citizens) is more important in the end are value judgements, and difficult ones at that. I don't doubt that if my circumstances were different I would be making an argument like yours.

Re:Companies Shouldn’t Be Accountable Only to Shareholders by pdonis on Thursday August 16, 2018 @04:50PM (#17778299)
> if the constitution proscribes something that would definitely benefit the state, then it is the constitution which is wrong.

We already have a process for dealing with this: amend the Constitution. But unless and until it gets amended, it is the supreme law of the land, and we can't just ignore it because we think something it currently proscribes would "benefit the state".

(I also have a problem with "benefit the state" as opposed to "benefit we the people". The state itself is established for the benefit of we the people; it is not a separate entity with separate interests apart from ours.)

Re:Companies Shouldn’t Be Accountable Only to Shareholders by pdonis on Thursday August 16, 2018 @04:47PM (#17778278)
> it's still a stretch from there to say the feds have the power to force specific corporate governance practices unrelated to commerce itself

You must be joking. Supreme Court jurisprudence already says that Congress can regulate crops grown for an individual farmer's personal use as part of its power under the Commerce Clause (Wickard v. Filburn, 1942). Imposing corporate governance practices seems like small potatoes in comparison.