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Climate finance | 13 March 2025

ClientEarth briefing on corporate transition plans and legal liability
Climate finance
Climate accountability

.PDF | 193kb

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ClientEarth briefing on corporate transition plans and legal liability

The policy debate surrounding transition plan regulation is currently marred by corporate concerns 
that disclosing forward-looking information in a detailed transition plan may expose companies and their directors to a heightened risk of legal liability.

If these concerns are given too much weight, weakened or delayed regulation and insufficient transition plan disclosure may be the result. 

This document sets out ClientEarth’s case for rebalancing the liability narrative based on clearer 
understanding of: (a) existing liability standards; and (b) the legal risk mitigant benefits of robust transition planning; and (c) the importance of an appropriately calibrated liability standard to the integrity of the regulatory regime.