In Law.com, Michael Littenberg Discussed Appeals Court Pausing California’s Climate Disclosure Law

In a Law.com article, partner Michael Littenberg, global head of the firm’s ESG, CSR and Business and Human Rights compliance practice, discussed a ruling by the U.S. Court of Appeals for the Ninth Circuit pausing a California law, SB 261, scheduled to take effect in January requiring the state’s biggest companies to disclose their climate change- financial risks. The court declined to pause a companion law, SB 253, or the Climate Corporate Data Accountability Act, that requires companies with annual revenues of more than $1 billion to report the amount of emissions they directly produce as well as emissions caused by their use of energy sources.

In an alert cited in the article authored by Michael, capital markets counsel Marc Rotter and ESG, CSR and business and human rights associate Peter Witschi, they recommended that companies take a “no regrets” approach to the uncertainty surrounding SB 261 and finish the compliance work they’ve already started.”

They note that “Although enforcement of SB 261 is paused, it may be temporary and relatively short-lived. In the meantime, expect the California Air Resources Boards (CARB) to continue to move forward with its rulemaking process and other initiatives and workstreams under this mandate.”