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Promising Justice: Contract (As) Social Responsibility

Lipson, Jonathan C.
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http://dx.doi.org/10.34944/dspace/6633
Abstract
Contracts in a variety of contexts-from multinational supply chain agreements to movie-production deals-increasingly include promises on such "social responsibility" matters as human trafficking, environmental sustainability, and socio-demographic diversity. These terms literally promise justice: Can they deliver? This paper makes three claims about the use of contract to achieve social responsibility (which I abbreviate "KSR"). First, KSR can be seen as a response to "vertical deconstruction," the erosion of intra-firm and social orders that historically generated,. and transmitted non-commercial social norms. Second, as such, KSR terms will be legally un(der)-enforceable: Like better-studied relational contracts, KSR will blend enforceable and unenforceable terms to achieve governance, risk-sharing, and educative goals. Third, although KSR may be more effective than more popular mechanisms, in particular corporate social responsibility, KSR is not a panacea, and presents risks of cooptation and fragmentation often associated with soft-law regimes.
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Jonathan C. Lipson, Promising Justice: Contract (As) Social Responsibility, 2019 Wis. L. Rev. 1109.
Available at: https://repository.law.wisc.edu/s/uwlaw/item/301711
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University of Wisconsin Law School
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Wisconsin Law Review, Vol. 2019, Iss. 5
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