Statutory Control

Brief Definition

Statutory control refers to the power and authority exerted by government bodies through laws and regulations to oversee and regulate certain activities, organizations, or sectors.

Further Explanation

Statutory control refers to the power and authority exerted by government bodies through laws and regulations to oversee and regulate certain activities, organizations, or sectors. This type of control is established and enforced through statutory laws, which are formal written laws enacted by a legislative body.

Example:
The Sarbanes-Oxley Act (SOX) is a U.S. federal law enacted in 2002 in response to major corporate scandals like Enron and WorldCom. SOX aims to protect investors by improving the accuracy and reliability of corporate disclosures.