Volume 12, 2007
John M. Czarnetzky
A Catholic Theory of Corporate Law
Over the past century, the Catholic Church has developed a powerful philosophical and theological theory of social institutions, including economic institutions. In particular, the Church has addressed a number of issues concerning the modern corporation, especially in areas of special concern such as just wages for workers, working conditions, social responsibility of corporations, etc. There is a discernable "gap," however, in the Church's social doctrine when it comes to the question of why corporations are formed at all, and why the law that governs them is designed the way it is. This paper proposes a theory to fill that gap—viz., an entrepreneurship-based theory of the corporation which is consistent with Catholic social doctrine and modern corporate law.