System Of Justice
Business corporations are Noachide-law entities, derived from a specific Rabbinic decision in the Noachide commandment of laws, and held in being by the non-Jewish government, which is thus responsible for their regulation in the public interest. Regulation should neither be so much as to be in restraint of trade, nor so little as to turn the markets into an anarchic competitive jungle.
The Jewish Bet Din cannot create corporations, nor can any Jewish lay body, and the non-Jewish or Israeli courts have jurisdiction on all disputes involving corporate matters.
Corporations in their present form originated in the Dutch state during its period of collaboration with the Jewish community in the 17th century. This was the first appearance of a legal situation designed for Jews and non-Jews to work and invest together in the same economy. The system of independent banking, or free capital market, appeared at the same time and place, when notice came that the Noachide law allows non-Jews to take interest on loans to each other, in contrast to the medieval church prohibition.
Before the French Revolution each Jewish community was given a corporate status by the non-Jewish government for tax purposes, which caused it to function as a business corporation, formally almost identical to the socio-religious corporate American colonies of the time, and when this was abolished Jewish interests re-founded it as a single entity in the Land of Israel as the ‘state’ we have today.
Non-Jews are enjoined under the Commandment of Laws to give charitable donations to each other, so as to allay resentment and confrontation in society generally, and create a climate where disputes can be peacefully resolved without having to go to court.
The Noachide law has no war of religion, no imperative to conquer unbelievers in the name of the Seven Laws, and non-Jews are not commanded to fight. Non-Jewish warfare is solely to ensure proper functioning legality in accordance with the Commandment of Laws.
Each non-Jewish nation is empowered to conduct its Noachide legal affairs according to its own pathways, and this is the concept of ‘nimuseihem’, or ‘their customs’, the autonomy of the non-Jewish nations in their laws. Nevertheless there are certain topics that can only be decided by the Rabbinic level, such as the validity of the corporate law, and other guiding principles that cannot be transgressed. Even though the law often allows individuals to contract to exclude legal provisions, many people falsely assume that this also applies to the basic spiritual laws of the creation.
This material is endorsed by the US Congress since 1991 as the true universal morality (House Judiciary Resolution 104, Public Law 102-14).
Rabbi Yirmeyahu Bindman is an author and researcher living in Jerusalem, specializing in Jewish historical biography and the Noachide Laws. He graduated in physics from University College London, came to Israel in 1979, and learned in the Mir Yeshivah and Kollel Chabad Tzemach Tzedek. HIs published works include a biography of Rabbi Moshe Chaim Luzzatto, the Ramchal, a handbook on how to run ‘gemach’ free-loan funds, and a standard teaching guide to the Noachide laws, ‘The Seven Colors of the Rainbow’
A Noachide Expert
Rabbi Yirmeyahu Bindman