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Business Associations

Introduction to Corporate Personhood

The Hobby Lobby and Citizens United cases have ignited an ongoing discussion regarding the nature of corporate personhood, the boundaries of corporate rights and the potential ramifications for democracy and individual rights. Some argue that granting corporations broader civil rights protections enables them to effectively participate in the democratic process and exercise their freedom of expression. Conversely, critics voice concerns about the potential for undue corporate influence, the dilution of individual shareholder voices and the erosion of democratic values.

Corporate personhood is a legal concept that recognizes corporations and other artificial entities, such as nonprofits, as legal persons with certain rights and responsibilities similar to those of individual human beings. It essentially grants corporations the legal status of a "person" for the purpose of conducting business and participating in legal proceedings. The idea of corporate personhood has a long history and has evolved over time through five different theories.