Media Coverage
Source: Wall Street Journal
Media Coverage
Press Contacts: Erik Cummins, Matt Hyams, Olivia Thomas
03.28.22
A U.S. Securities and Exchange Commission proposal that would mandate strict climate reporting from public companies could dramatically increase the exposure of these businesses to costly securities litigation, according to lawyers who represent corporations and investors. In fact, the proposal could be a potent source of securities fraud litigation, which targets companies over alleged lies or even half-truths told to the investing public, reported the Wall Street Journal.
“What you disclose exactly and how you measure it is developing in real time,” said Amanda Halter, Pillsbury’s Houston managing partner and an Environmental & Natural Resources partner. “We’re kind of building the plane as we’re flying it.”
Likewise, the requirements could end up fueling a “dispute machine,” she said. As a result, companies outside of the sectors traditionally heavily regulated under environmental rules will have to begin thinking proactively about their broad environmental impacts, she added.
To read the full WSJ article, click here.