Katten ESG Guidepost is a monthly publication highlighting the latest news, legal and regulatory developments involving environmental, social and governance matters.
To read more issues of Katten ESG Guidepost, please click here.
Johnjerica Hodge and India Williams Talk With Private Funds CFO About Investor Concerns Following Fearless Fund Suit
Partners and ESG Risk and Investigations Co-Chairs Johnjerica Hodge and India Williams spoke with Private Funds CFO on how the Fearless Fund's decision to settle the racial discrimination lawsuit filed by the American Alliance for Equal Rights is resulting in fund sponsors re-evaluating their diversity, equity and inclusion (DEI) initiatives. Some investors are hesitant to support narrowly focused DEI programs due to legal risks, potentially leading to a pullback in such investments. Read about India and Johnjerica's comments.
Deadline Approaching: ESG Corporate Reporting Requirements for Large Companies
By Neil Robson
Published by Grip, the article explores the Corporate Sustainability Reporting Directive (CSRD), which the EU adopted to align with the Paris Agreement's climate change goals. The CSRD mandates that all large companies and most listed companies disclose information about the risks and opportunities arising from social and environmental issues, as well as the impact of their activities on people and the environment. This directive aims to modernize and strengthen the rules concerning social and environmental reporting, allowing stakeholders to evaluate the sustainability performance of companies as part of the European Green Deal. Read Katten's article.
Neil Robson Discusses SDR Compliance Extension With Grip
Financial Markets and Funds Partner Neil Robson spoke with Grip regarding the Financial Conduct Authority's (FCA) announcement that it is granting firms temporary flexibility to comply with the "naming and marketing" rules under the Sustainability Disclosure Requirements (SDR) until April 2, 2025. This extension allows firms more time to meet the standards and make necessary changes regarding environmental, social and governance (ESG) marketing, especially for those using sustainability-related terms in their fund names. Read about Neil's comments.
New Dawn for Employment Law
By Christopher Hitchins, Brigitte Weaver
Published by Accounting and Business Magazine, the article explores what UK employment law reforms employers should be aware of since the general election. The changes, which vary in significance and how they will affect day-to-day business, will occur in the coming months. The article lays out key proposals that HR departments should have on their radars, such as rights stemming from the Race Equality Act. Read Katten's article.
Corporate Transparency Act: January 1, 2025 Filing Deadline and Recent Developments
By Michael Sherlock, Walter Weinberg, Alexander Lovrine, Scott Vetri, Andres Jagoda, David Matthews
Since the Corporate Transparency Act (CTA) went into effect on January 1, there have been several significant developments that Reporting Companies need to be aware of, including crucial reporting requirements, deadlines for submitting Beneficial Ownership Information Reports (BOIRs) and recent CTA litigation updates. Read Katten's advisory.
FTC Noncompete Rule in Doubt Following Texas Court Ruling
By Mark Ciani, Janella Gholian, Sravya Vallapureddy
Published by Agenda, the article examines how the implementation of the Federal Trade Commission's (FTC) Noncompete Rule — originally set to take effect on September 4 — is now uncertain following a permanent injunction from a federal court in the Northern District of Texas. Read Katten's article.
FinCEN Adopts Final Rule: AML Programs for Investment Advisers
By Adam Bolter
On August 28, the US Department of the Treasury's (Treasury Department) Financial Crimes Enforcement Network (FinCEN) issued a final rule that expands anti-money laundering (AML) and countering the financing of terrorism (CFT) program requirements to cover Securities and Exchange Commission (SEC) registered investment advisers (RIAs) and SEC exempt reporting advisers (ERAs) (collectively, Investment Advisers). Read about the changes and core requirements of FinCEN's final rule.
