A New Legal Form for Social Enterprises in Asia

This article argues that there should be a new legal form for social enterprises in Asia that takes into account the distinctive contexts within which different types of social enterprises operate in the different Asian jurisdictions, and that is responsive to the evolving needs of social enterprises and the community. This article advances an analytic framework for understanding and evaluating social enterprise law consisting of (1) corporate purpose; (2) directors’ duties; (3) decision-making powers; (4) reporting and certification; and (5) distribution of dividends, assets, and tax benefits. It challenges the dominant assumption that the existing legal forms in Asia are adequate and appropriate to achieve the aims of social enterprises in Asia, using the four leading common law jurisdictions (Singapore, Hong Kong, Malaysia and India) as a case study. It also critiques the legal forms for social enterprises in the UK and the US and find them unsuitable for adoption by the Asian jurisdictions.