Corporate Social Responsibility and the Norwegian Transparency Act: the Importance of Choice of Law

Abstract

Various avenues are pursued to ensure responsible international business activity. Increasingly, domestic law imposes on companies active on the relevant countryʼs territory duties of vigilance or of diligence regarding the companiesʼ subsidiaries and suppliers, including their activity abroad. The Norwegian Transparency Act is an example of such law. However, to benefit the victims of harm that occurred abroad, this legislation must be applicable to their claims. According to the conflict rule generally applicable to tort claims, Norwegian tort law does not apply to harm or damage that occurred abroad. Following the example of a conflict rule already existing in Norwegian law and in EU law for liability relating to environmental damage, this article argues for the introduction of a special conflict rule for selecting the law applicable to torts liability based on breaches of the Transparency Act.

Keywords

• Transparency Act
• law applicable to torts
• place of damage
• overriding mandatory rules
• environmental damage