The Fiction Of Corporate Personhood: Legal Convenience Or Constitutional Conflict?
- IJLLR Journal
- Jul 22
- 1 min read
Aishani Sen, UPES, Dehradun
ABSTRACT
This study offers a critical exploration of the evolving doctrine of corporate personhood, tracing its journey from a pragmatic legal fiction, designed to streamline commercial activity, to a deeply contested constitutional principle. Initially established to grant corporations a separate legal identity for purposes such as contract enforcement, property ownership, and limited liability, the doctrine has since expanded, with corporations increasingly invoking fundamental constitutional rights once thought to be the exclusive preserve of natural persons. These include the rights to free speech, religious freedom, and equal protection under the law.
The paper undertakes a comparative legal analysis of how corporate personhood is interpreted and applied across jurisdictions, with particular focus on India, the United States, and the European Union. These comparative perspectives reveal distinct constitutional cultures and sharply differing approaches to the balance between corporate functionality and public accountability. By drawing on doctrinal developments, landmark case law, and international frameworks, the study exposes the growing tension between corporate power and the foundational principles of democratic governance.
The research argues that without clear doctrinal boundaries and legislative oversight, the unchecked expansion of corporate constitutional rights risks distorting the core values of equality, representation, and human dignity. It proposes a recalibrated framework grounded in judicial restraint, statutory clarity, and stakeholder-inclusive corporate governance, aiming to preserve the legitimacy of constitutional protections while maintaining the functional utility of the corporate form. Ultimately, the paper contends that restoring a proper equilibrium between economic structures and constitutional values is not only a legal imperative but a democratic necessity.
Keywords: Corporate Personhood, Legal Fiction, Constitutional Rights, Democratic Integrity, Judicial Reform, Freedom of Speech.
