Court blocks California from enforcing climate disclosure laws
The panel said California likely exceeded constitutional limits by forcing companies to disclose value-chain emissions and climate risks.
- On Monday, the 9th Circuit Court of Appeals blocked California from enforcing parts of two climate disclosure laws, citing First Amendment concerns regarding compelled speech.
- Democratic Governor Gavin Newsom signed the Climate-Related Financial Risk Act and Climate Corporate Data Accountability Act in 2023, making California the first state to require such disclosures.
- The panel ruled that provisions for companies with over $500 million in revenue to disclose risks, and those with over $1 billion to report emissions, likely forced "politically fraught" judgments rather than factual information.
- Daryl Joseffer, president of the US Chamber Litigation Center, called the decision an "important victory" that halted the "most onerous" disclosure requirements and said the Chamber will seek permanent injunctions.
- Circuit Judge Mark Bennett, an appointee of Republican President Donald Trump, partially dissented and would have blocked both laws, while the case returns to US District Judge Otis Wright in Los Angeles.
7 Articles
7 Articles
Ninth Circuit curtails California greenhouse gas disclosure laws
(CN) — The Ninth Circuit said Monday that two California laws that require large corporations to disclose their greenhouse gas emissions and report their climate-related financial risk are either in part or completely unconstitutional. In a split decision, the panel affirmed in part and reversed in part a decision by a trial judge last year who rejected the U.S. Chamber of Commerce’s bid to halt enforcement of the two state laws until their cons…
Court blocks California from enforcing climate disclosure laws
A federal appeals court dealt a setback to California's desire to enforce its first-of-its-kind climate disclosure laws, blocking the state from requiring large companies to disclose climate-related financial risks and "indirect" greenhouse gas emissions.
Ninth Circuit Partially Blocks California Climate Disclosure Laws Under SB 253 and SB 261
In a significant development for companies subject to California’s climate disclosure laws, the U.S. Court of Appeals for the Ninth Circuit issued a decision today in Chamber of Commerce v. Sanchez, partially reversing a district court’s denial of a preliminary injunction against California’s climate disclosure requirements under Senate Bills 253 and 261.The court concluded that SB 261’s climate-related financial risk disclosure requirements and…
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