Allen Arthur Robinson involved in ground-breaking United Nations report

30 May 2008

Leading international law firm Allens Arthur Robinson has played an important role in a United Nations report on the role of corporations in human rights, which is to be considered by the UN Human Rights Council next week.

The report, by the United Nations Special Representative on Business and Human Rights, Professor John Ruggie, aims to provide an international framework for action on the role of corporations in respect of human rights.

If the report is endorsed by the United Nations Human Rights Council on 2 June, it will be the first time that an official position on corporate human rights responsibilities will have been adopted at the international level.

The framework proposed in the United Nations report would:

• provide guidance for companies on best practice approaches to meeting the increasing expectations they face in respect of human rights and international law;
• provide an opportunity for companies to consider ways to address legal exposure and minimise litigation risk that may arise in connection with perceived corporate impacts on human rights in Australia or overseas; and
• be used to develop prudential risk management strategies, with human rights obligations increasingly likely to permeate domestic law in areas such as director's duties, due diligence and corporate reporting.

Allens Arthur Robinson's Corporate Responsibility Group has assisted Professor Ruggie in the formation of this and previous reports. This has involved preparing a comprehensive brief on the human rights law obligations of corporations in seven jurisdictions in the Asia-Pacific, including Australia, China, India and Indonesia. The firm has also provided research on the extent to which corporate culture is used as a basis for corporate criminal liability in Australia and a range of countries in Europe and Asia. Most recently, the firm provided Professor Ruggie with research on the extent to which a corporate duty to respect human rights may be considered to exist under Australian domestic law.

According to Rachel Nicolson, Senior Associate with Allens Arthur Robinson's Corporate Responsibility Group, the possible endorsement of the UN report is very timely.

'Clients, particularly multinationals in the extractives industry and finance sector, are increasingly turning to international law – on issues like labour, the environment, community and government relations – for guidance on best practice standards across their global operations,' Ms Nicolson said.

'These international law standards are in turn becoming a part of domestic law obligations faced by corporations.

'Corporations, particularly those operating in developing countries, are often required to operate in an environment with poor law enforcement or that are what we think of as 'conflict zones'. The framework proposed by Professor Ruggie's report will assist corporations in understanding and addressing the legal and related risks associated with such operations.

'Professor Ruggie's report is an important development for corporations – it is a concrete step towards providing greater certainty for corporations of their obligations in relation to human rights. These developments will also help corporations respond to the emerging expectations of their stakeholders on this issue – seen for instance in the increase in shareholder resolutions concerning rights related issues.'
Allens Arthur Robinson's industry-leading Corporate Responsibility Group advises multinationals on these issues in an environment where there are increasing demands on, and incentives for, corporations to operate in an ethically, environmentally and otherwise socially responsible manner.

The firm's experience includes:

• advising clients on the use of international law as best practice and to minimise legal risk for activities such as resettlement of communities and engagement with public and private security forces for project operations in Asia and the Pacific;
• advising clients on the establishment of corruption and bribery compliance programs, including guidance on establishing procedures for dealings with public officials, training of staff and monitoring and reporting on compliance; and
• acting for clients in proceedings commenced in the US and Australia involving allegations such as complicity in human rights violations; corruption and bribery and environmental damage.

Ends

For further information, please contact:

Rachel Nicolson Senior Associate, Melbourne Ph: +61 3 9613 8300 Rachel.Nicolson@aar.com.au

Jason Silverii Corporate Affairs, Melbourne Ph: +61 3 9613 8005 Jason.Silverii@aar.com.au

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Notes for editors.

Founded in 1822, Allens Arthur Robinson offers one of the most comprehensive legal networks in Australia and Asia with more than 1500 personnel based in 14 cities and eight countries across the region. Clients voted Allens Arthur Robinson the Best Professional Services Firm (revenue over $200 million) and Best Law Firm (revenue over $100 million) in the annual BRW Client Choice Awards 2005, 2006 and 2008. We have been an EOWA Employer of Choice for Women since 2004.

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