LEGAL ACCOUNTABILITY OF CORPORATES IN IMPLEMENTING CSR

Abstract

This study explores the legal accountability of corporations in implementing Corporate Social Responsibility (CSR), emphasizing how legal frameworks shape corporate behavior and social impact. With CSR evolving from a voluntary ethical practice to a partially mandated obligation, the paper critically examines national and international legal instruments that govern corporate accountability. Focusing on the interplay between legislation, corporate governance, and ethical responsibility, the research analyses how regulatory mechanisms ensure compliance, transparency, and stakeholder engagement. Using a comparative approach, it evaluates CSR implementation under statutory mandates such as India’s Companies Act 2013 (Section 135) and voluntary yet enforceable frameworks like the U.S. Securities and Exchange Commission (SEC) disclosure norms. Findings reveal that while legal enforcement strengthens corporate commitment to sustainable practices, challenges remain in monitoring, reporting accuracy, and balancing profit motives with social welfare. The study concludes that effective CSR accountability requires a hybrid governance model integrating legal obligations with ethical self-regulation, stakeholder participation, and global sustainability standards to achieve genuine social and environmental impact.