Despite the recent disbandment of the SEC’s Climate & ESG Task Force, the SEC is continuing to pursue enforcement actions concerning environmental issues, including greenwashing. Notably, over the past several weeks, the SEC...more
On October 21, 2024, the SEC imposed a fine of $4 million on investment adviser WisdomTree Asset Management Inc. for improperly labeling certain funds as compliant with ESG principles. According to the settled administrative...more
Last month, a federal district court struck down Missouri's anti-ESG rules that would prohibit investment advisors from utilizing ESG factors when making investment decisions (absent written consent of the client). ...more
The Securities & Exchange Commission has disbanded its Climate & ESG Task Force, which had been launched with great fanfare in March 2021 at the beginning of the Biden administration. However, the Climate & ESG Task Force had...more
Over the past couple of weeks, there have been a pair of greenwashing lawsuits filed--by both private plaintiffs and government regulators--that highlight the current focus on consumer products as a centerpiece of...more
On September 1, 2021, the State of Texas enacted a law (SB 13) that constitutes one of the most far-reaching anti-ESG laws among the various states. It bars state institutions from investing in companies that “boycott”...more
It has been reported that the Securities & Exchange Commission has disbanded its Climate & ESG Task Force. This same task force had been launched with great fanfare in March 2021, at the beginning of the Biden...more
Congressional Democrats have been exerting pressure on insurance regulators to integrate climate-related financial risks as part of their supervisory role; a letter was recently sent by Democratic members of the House and...more
As of June 2024, Canada added certain provisions to its Competition Act that explicitly target the practice of greenwashing. In particular, according to the Canadian Competition Bureau, these amendments: (1) “requir[e] that...more
Yesterday, Judge Bough (W.D. Mo.) issued a decision barring the recent anti-ESG rules Missouri had promulgated that prohibited investment advisers from utilizing ESG factors when making investment decisions (absent written...more
8/16/2024
/ Asset Management ,
Bars ,
Broker-Dealer ,
Employee Retirement Income Security Act (ERISA) ,
Environmental Social & Governance (ESG) ,
Fourteenth Amendment ,
Investment ,
Investment Adviser ,
NSMIA ,
Securities and Exchange Commission (SEC) ,
SIFMA ,
Written Consent
Regulatory Updates -
Governor Newsom (D-CA) recently proposed a two-year delay to California’s sweeping new mandatory climate disclosures, which apply to all large companies—public or private—doing business in California....more
8/2/2024
/ Chevron Deference ,
Climate Change ,
Department of Labor (DOL) ,
Disclosure Requirements ,
Employee Retirement Income Security Act (ERISA) ,
Energy Sector ,
Environmental Litigation ,
Environmental Social & Governance (ESG) ,
Fossil Fuel ,
Loper Bright Enterprises v Raimondo ,
Popular ,
Regulatory Agenda ,
Sustainability
Last week, the Fifth Circuit Court of Appeals vacated and remanded the appeal from a lower court's decision upholding the Biden Administration's Department of Labor rule enabling ERISA plans to consider ESG factors, ordering...more
2 SEC Commissioner Peirce recently delivered a speech where she extensively criticized the recent emphasis on ESG among businesses, in particular the proliferation of mandatory ESG reporting frameworks. According to...more
On June 4, 2024, a number of Congressional Democrats (10 Senators; 28 Congressmen) sent a letter to SEC Chairman Gensler, urging that the SEC “enforce existing SEC climate disclosure-related guidance” while the legal...more
On June 4, 2024, a number of Congressional Democrats (10 Senators; 28 Congressmen) sent a letter to Chairman Gensler of the Securities & Exchange Commission, urging that the SEC “enforce[] [] existing SEC climate...more
On April 22, 2024, the federal government issued a rule “amending the Federal Acquisition Regulation (FAR)” to “implement a requirement for agencies to procure sustainable products and services to the maximum extent...more
On May 22, 2024, Judge O'Connor (N.D. Tex.) ordered that the plaintiffs claiming that investment managers breached their fiduciary duty due to their ESG-focused investing be certified as a class for purposes of the...more
5/28/2024
/ Breach of Duty ,
Class Certification ,
Corporate Counsel ,
Employee Retirement Income Security Act (ERISA) ,
Environmental Social & Governance (ESG) ,
Fiduciary Duty ,
Fund Managers ,
Investment ,
Investment Management ,
Motion to Dismiss ,
Retirement Plan
On Monday, May 21, 2024, Congressman Nadler (D-NY) and Congressman Correa (D-CA), the ranking Democratic members on the House Judiciary Committee and relevant subcommittee, sent a letter to the Attorney General and Chief...more
With environmental, social, and governance (ESG) principles garnering increased attention in corporate circles in recent years, there has been an accompanying rise in demand for analytical products that evaluate companies’...more
5/21/2024
/ Asset Management ,
Conflicts of Interest ,
Corporate Governance ,
Diversity and Inclusion Standards (D&I) ,
Environmental Social & Governance (ESG) ,
Investors ,
Private Equity Funds ,
Regulatory Agenda ,
Retail Investors ,
Securities and Exchange Commission (SEC) ,
Shareholders ,
Stakeholder Engagement
This week, “BNP Paribas SA, the European Union's biggest bank” stated that it “is no longer participating in conventional bond issuance for” “oil and gas producers.” In essence, BNP Paribas has announced that it will cease...more
This week, Governor DeSantis of Florida signed into law certain legislation that expressly seeks to minimize ongoing efforts to combat climate change, and indeed erects various roadblocks to actions designed to promote...more
On May 10, 2024, the Fifth Circuit rejected an attempt by the States of Texas, Louisiana, West Virginia, and Utah to invalidate an SEC rule “requiring funds to disclose their votes on environmental, social, and governance...more
On May 13, 2024, a group of 21 Democratic Congressmen--4 Senators and 16 Representatives, as well as the D.C. Delegate--submitted a letter to SEC Chairman Gensler, urging him “to finalize an anti-greenwashing rule you...more
Earlier this week, a state court judge in Oklahoma issued a temporary restraining order that blocks--for now--enforcement of an Oklahoma law that deprives companies deemed to boycott the fossil fuel industry of the ability to...more
The Oklahoma State Treasurer added yet another bank to its blacklist of companies that are barred from doing business with the State of Oklahoma due to a “boycott [of] the oil-and-gas industry.” According to a 2022 law,...more