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The Model Contract Clauses (MCCs) 2.0

The MCCs 2.0 are modular, editable, and adaptable model contract clauses designed for use across sectors. The clauses help companies implement human rights and environmental standards in their supply chains. 

The Model Contract Clauses to Protect Workers in International Supply Chains (MCCs) 2.0 translate the UN Guiding Principles on Business and Human Rights (UNGPs) and OECD Due Diligence Guidance for Responsible Business Conduct (OECD Guidance) into contractual obligations that can be included in supply contracts for the manufacturing and sale of goods. They are designed to be used across sectors. Because they are modular, businesses can choose which of the MCCs to adopt or adapt in their supply chain contracts. The RCP team can edit and modify the clauses to suit the needs of different stakeholders.

​The MCCs were developed by a Working Group of the American Bar Association’s Business Law Section, with generous support from the Laudes Foundation and pro bono counsel from Linklaters LLP. They were published in 2021 in The Business Lawyer Journal.

 

Legal Framework

Because they were prepared by a working group focused on the United States, MCCs 2.0 assume that buyers are located in the United States. However, a European Working Group is developing the European Model Clauses (EMCs) for Responsible and Sustainable Supply Chains, based on the MCCs 2.0. The EMCs Zero Draft for Consultation Version was published in July 2024, and the EMCs 1.0 are expected to be published in Fall 2025.
 

In general, the MCCs 2.0 do not state the human rights performance standards themselves. For the most part, substantive human rights standards and ethical purchasing practices are not contained in the MCCs 2.0 and are instead assumed to be specified in “Schedule P” and “Schedule Q” respectively. You can find an example of Schedule Q, aka, the Buyer Code, here.

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Model Contract Clauses (MCCs) 2.0 Drafting Document

This is a Word document, designed for use by attorneys, is easy for cutting and pasting the MCCs 2.0 into contracts and can be adapted as needed.

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Full Report: "Balancing Buyer & Supplier Responsibilities"

For more details on the background and development of the MCCs 2.0, we invite you to download the full report, "Balancing Buyer & Supplier Responsibilities."

UNGC fireside chat

Latest News

  • August 25 — RCP announced a new collaboration with UN Global Compact Network Germany: a three-part webinar series on Responsible Procurement covering "Responsible Procurement and Shared Responsibility" (Oct 22), "Responsible Purchasing Practices" (Nov 11), and "Responsible Contracting" (Dec 2), with RCP Director Sarah Dadush speaking at the December session.

  • August 12 — RCP submitted its response to the European Commission's public consultation on CSDDD implementation guidelines, calling for shared responsibility and human rights and environmental due diligence to be embedded in international supply contracts.

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Events

  • August 11 — RCP Lead European Legal Advisor Daniel Schönfelder joined "Making Sustainable Contracts Work in Practice," a WorldCC Foundation panel in the APAC Summit's virtual program, alongside Anne Ketola of Tampere University and Ro Coroneos of Praxis ESG, moderated by Gitika Makker of Nexdigm, discussing practical tools for embedding sustainability into contracts, including RCP's toolkit. Watch the recording.

  • June 30 — RCP Director Sarah Dadush joined Observatoire de la Responsabilité Sociétale des Entreprises (ORSE) and PwC Société d'Avocats in Paris for the launch of ORSE's updated ESG regulations guide, discussing the shift from risk-transfer contracting to cooperation-based approaches reflected in the CSDDD.

  • May 19 — Senior Advisor Ben Rutledge spoke at the Sustainable Vanilla Initiative (SVI) General Assembly in Paris, joining industry members and value chain actors for a session on governance, procurement, and collective action in the vanilla sector.

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