Doctrinal and Empirical Evaluation of Extraterritorial Corporate Liability for Human Rights Violations in Global Supply Chains

Abstract

This study aims to examine extraterritorial corporate liability for human rights violations in global supply chains, with particular attention to Indonesia as a supplier country within transnational production networks. The research addresses the gap between global human rights due diligence standards and the lived experiences of workers and affected communities at production sites. Using a qualitative case study approach, this study combines doctrinal legal analysis with empirical inquiry. Data were collected through semi-structured interviews, limited observation, and documentation involving workers, affected communities, civil society actors, legal practitioners, academics, government representatives, and business-related stakeholders selected through purposive and snowball sampling. The findings reveal four main themes: fragmentation of responsibility within layered supply chain structures, unequal access to justice, the tendency of human rights due diligence to operate as administrative compliance, and the need to localize accountability mechanisms. These findings show that extraterritorial corporate liability should not be understood merely as an extension of legal jurisdiction, but as a socio-legal process shaped by power relations, access to information, and victims’ ability to obtain remedies. The study contributes to business and human rights scholarship by emphasizing victim-oriented accountability and the importance of supplier-country perspectives. It concludes that stronger national regulation, accessible grievance mechanisms, and meaningful community participation are needed to transform human rights due diligence from formal compliance into substantive protection. Further research may compare different sectors or use legal ethnography to explore victims’ experiences more deeply.