Press release

Legal experts warn of potential challenges to EU Omnibus proposal

24 June 2025

ClientEarth lawyers caution that legal experts have identified strong grounds for challenges to the EU Commission's Omnibus proposal if passed into a law. They warn that the agreement reached yesterday by the Council of the European Union on this proposal increases this legal risk by further undermining the Corporate Sustainability Due Diligence Directive (CSDDD).

A preliminary legal analysis by Baldon Avocats, commissioned by ClientEarth and released today, warns that the Commission’s proposed regulatory rollbacks may violate several EU Treaty provisions. These include the Charter of Fundamental Rights and key principles of EU law, potentially opening the door to legal challenges.

The analysis identifies several potential grounds for challenging the Omnibus before EU courts, either through an annulment action or a preliminary reference on validity. These include possible violations of fundamental rights and breaches of the principles of proportionality and legal certainty.

ClientEarth senior lawyer Amandine Van den Berghe commented:

“The Omnibus proposal raises serious legal concerns. The Omnibus is legally fragile not only because the policymaking process was rushed, but also because the proposed changes lack clear justification and are unsupported by evidence, disregarding the EU Treaties.”

“Without proper impact assessments and open consultation, the Commission has produced a text that is riddled with legal uncertainty and stands on very shaky legal grounds. This not only undermines the EU’s climate objectives but also leaves businesses and citizens exposed to the real risk of regulatory instability.”

 “The general approach adopted is not only deeply disappointing, but it also marks a significant regression, going even further than the Commission’s original proposal in stripping away key provisions designed to hold companies accountable for human rights abuses and environmental harm in their value chains.”

ClientEarth lawyers urge all three EU institutions to carefully consider these risks and calls on them to correct course. They call on the European Commission to withdraw the Omnibus proposal to prevent potential legal challenges and avoid extending by several years the period of legal uncertainty for businesses in the EU.

ENDS

Notes to editors:
  • On 18 April 2025, ClientEarth and coalition partners submitted a formal complaint to the European Ombudsman, citing failures in the Commission’s preparation of the Omnibus proposal, specifically, the lack of a comprehensive impact assessment and inadequate public consultation.
  • In response, the EU watchdog launched an inquiry into this case. Their interim reply has acknowledged the concerns, signalling that the process may have involved maladministration. ClientEarth awaits further developments.
  • A first legal analysis has been published by Swedish law firm Cirio; setting out potential legal grounds to challenge the Omnibus , should Member States proceed without addressing these critical concerns.

About ClientEarth

ClientEarth is a non-profit organisation that uses the law to create systemic change that protects the Earth for – and with – its inhabitants. We are tackling climate change, protecting nature and stopping pollution, with partners and citizens around the globe. We hold industry and governments to account, and defend everyone’s right to a healthy world. From our offices in Europe, Asia and the USA we shape, implement and enforce the law, to build a future for our planet in which people and nature can thrive together.