APAC Launch- Primer on Climate Change: Director's Duties and Disclosure Obligations

Synopsis

Climate change has moved from an ethical or environmental issue to a critical consideration in the way boards oversee risk management, strategy and corporate disclosure. Yet many directors are unaware of how this risk relates to their legal duties and disclosure obligations, often assuming that by pursuing a zero-carbon business strategy, they may need to “leave profitable business on the table” and in so doing, face the risk of removal or litigation. In fact, the legal landscape has evolved considerably in the last few years, and continues to do so every day as new regulations, laws and litigation around the world continually redefine what directors should do.

In light of this very fluid context, how should directors interpret their legal obligations?  Do these duties vary significantly across jurisdictions? Is a high standard of transparency enough? How is the concept of the “reasonable director” being redefined in a world where…