LAUSR

This paper clarifies the current convergence and divergence of corporate boards in Europe and Japan. To this end, it offers an overview of the legal settings governing boards in Japan in transition. Japan introduced the Stewardship Code and a third board structure as an option in the Companies Act in 2014 and the Corporate Governance Code in 2015. These recent amendments focus both on shareholders’ governance mechanisms through institutional investors and on outside directors within companies. Some converged elements appeared on corporate boards in Europe and Japan even though significant divergences are observed because of historical developments specific to Japan. These convergences and divergences remain to be discussed and clarified upon further amendment.