Mandatory Law versus Soft Law: Does the Interaction Between the Companies Act and King V Strengthen Corporate Governance?
Year: 2026
Type: article
Abstract: Purpose. To evaluate whether the doctrinal interaction between the Companies Act 71 of 2008 and the King V Code on Corporate Governance substantively strengthens corporate governance in South Africa. Design / Methodology / Approach. Doctrinal black-letter analysis of primary statutory texts; theoretical synthesis using the mandatory–soft law typology; structured coding of the seventeen King IV principles and the compressed thirteen-principle King V architecture; comparison with the G20/OECD Principles of Corporate Governance. Findings. The interaction produces a hybrid regime in which the JSE Listings Requirements function as a hinge converting the King Code from a voluntary register into a de facto binding standard for listed entities, while unlisted, SME and SOE entities experience a weaker strengthening effect. Practical Implications. Directors, audit committees, social and ethics committees and external assurance providers should treat King V compliance as a binding discipline rather than an aspirational indicator; policymakers should consider statutory hooks to close the gap for unlisted entities. Originality / Value. Provides a doctrinal-theoretical mandatory–soft law interaction model for South African governance, addresses the literature gap where King IV and King V are usually analysed in isolation, and yields a framework transferable to other emerging-market hybrid jurisdictions.
Author: Pamba, Dumisani
Language: English
Topic: Corporate Governance and Law
Subfield: Strategy and Management
Domain: Social Sciences
Open Access status: green
OpenAlex ID: W7203701702
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