NC H616

Establishes a new legal framework allowing for-profit corporations in North Carolina to incorporate as "public benefit corporations" that balance shareholder profits with specific public benefits and interests of those materially affected by the corporation's conduct.

Requires public benefit corporations to identify one or more specific public benefits in their articles of incorporation (including artistic, charitable, cultural, economic, educational, environmental, literary, medical, religious, scientific, or technological effects) and include this designation in their corporate name or provide notice to shareholders.

Modifies director duties to require balancing shareholder pecuniary interests with public benefit objectives and best interests of affected parties, while protecting directors from liability for disinterested decisions meeting ordinary prudence standards.

Requires public benefit corporations to provide shareholders with biennial statements assessing progress toward identified public benefits, including objectives established, measurement standards adopted, factual progress data, and success assessment.

Allows existing corporations to become public benefit corporations or terminate that status only with unanimous shareholder approval for conversion and two-thirds approval for termination; effective October 1, 2017.