Second revised draft of UN binding treaty has “lost its soul”

The Global Campaign argues that the second revised draft of the UN binding treaty on transnational corporations (TNCs) is insufficient and has "lost its soul" by failing to address the accountability gap and corporate capture. The statement highlights critical omissions, including the lack of recognition of TNC obligations to respect human rights, the absence of global value chain references, and the failure to establish effective international legal mechanisms or an international court. It further warns that the draft weakens the liability of parent companies and extends the scope to all enterprises regardless of transnational activity, contrary to Resolution 26/9. Finally, the campaign urges the postponement of the sixth session of the Working Group as a negotiating session, citing the Covid-19 pandemic's impact on the ability of civil society and affected communities, particularly in the Global South, to participate meaningfully.

• The second revised draft of the binding treaty is criticized for being too weak to achieve its objective of regulating transnational corporations (TNCs) and for failing to innovate beyond the UN Guiding Principles, which are deemed insufficient to close the accountability gap and ensure access to justice.
• The draft contains several critical omissions and problematic expansions: it extends the scope to all enterprises instead of focusing on those with "transnational activity" as per Resolution 26/9; it fails to recognize TNC obligations to respect human rights; it ignores global value chains; it lacks an international court or sanctions for non-compliance; and it does not prioritize international human rights law over trade and investment agreements.
• The document highlights a failure to address "corporate capture," which neutralizes power asymmetries between large TNCs and states, particularly in the Global South, and notes that the draft weakens the liability of parent or controlling companies and fails to impose joint and several liability across global value chains.
• The Global Campaign argues that the Covid-19 pandemic has created obstacles for civil society and affected communities, especially in the Global South, to participate in negotiations, and therefore recommends that the sixth session of the Working Group be used for consultations rather than as a negotiating session to preserve the process's legitimacy.

APA

admin (2020). Second revised draft of UN binding treaty has “lost its soul”. Friends of the Earth International. https://www.foei.org/second-revised-draft-of-un-binding-treaty-has-lost-its-soul/

Chicago

admin. Second revised draft of UN binding treaty has “lost its soul”. Friends of the Earth International, 2020. https://www.foei.org/second-revised-draft-of-un-binding-treaty-has-lost-its-soul/.

Wikipedia

{{cite press release |last1=admin |title=Second revised draft of UN binding treaty has “lost its soul” |publisher=Friends of the Earth International |date=2 September 2020 |url=https://www.foei.org/second-revised-draft-of-un-binding-treaty-has-lost-its-soul/ |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@misc{admin2020second, author = {admin}, title = {{Second revised draft of UN binding treaty has “lost its soul”}}, publisher = {Friends of the Earth International}, year = {2020}, month = sep, url = {https://www.foei.org/second-revised-draft-of-un-binding-treaty-has-lost-its-soul/}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }