RULES, STANDARDS, AND THE MODEL BUSINESS CORPORATION ACT.

The article focuses the Model Business Corporation Act (MBCA) in the U.S., including its governing rules and standards. It notes that legal rules and standards are significantly different in approach despite the fact that they share the same social goal. It adds that the relative merits of rules versus standards in lawmaking have been largely ignored with reference to corporation law due to its reliance almost exclusively on general standards in expressing legal obligations and rights. The concept on the representation of an important new model for corporate legislation by the MBCA is also highlighted.