As reported in the Atlanta Progressive News on January 2, 2016, Georgia Benefit Corporation Model Legislation is now being considered for approval and ultimate support/sponsorship by the State Bar of Georgia. In February of 2013, an Ad Hoc Benefit Corporation Committee established by the Executive Committee of the Business Law Section of the State Bar of Georgia convened and issued a Report in October of 2013. Therein, the Committee discussed alternative approaches to legislation adopted in a number of states, and made recommendations to be considered in drafting model legislation for submission to the Georgia Assembly. In 2015, this Ad Hoc Committee reconvened to create model benefit corporation legislation for Georgia.
There are currently two models, or approaches, taken in connection with enactment of similar statutes in other states, namely the "B Lab" model and the "Delaware" model. The "B Lab" model is premised on the work of a non-profit entity that crafted the first model legislation, and has developed standards for certification and/or maintenance of benefit corporation status. Those standards are reflected in the regulatory framework of such legislation enacted by a number of states. The "Delaware" model relies on self-identification/regulation, without imposing third-party standards or requiring an extensive regulatory framework. The Georgia Model legislation, patterned in large measure off of the American Bar Association’s Business Law Section Model Act, is more like the Delaware model, giving businesses more autonomy over metrics and reporting. If and when the Georgia model benefit corporation legislation is approved internally, the State Bar of Georgia will locate legislators to sponsor the legislation.
Note: See Atlanta Progressive News to read the original State Bar Pushing Public Benefit Corporations in Georgia January 2, 2016 article.