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ARTICLE · 26 FEBRUARY 2020

EMC Prevails In Climate Change Securities Fraud Action

We recently wrote about a Complaint (the Complaint) brought by the State of New York against ExxonMobil Corporation relating to alleged climate change disclosure securities fraud.

CanadaCorporate/Commercial Law

We recently wrote about a Complaint (the Complaint) brought by the State of New York against ExxonMobil Corporation relating to alleged climate change disclosure securities fraud. In December 2019, the Supreme Court of the State of New York dismissed the State of New York's allegations (People of the State of New York v. Exxon Mobil Corporation, 452044/2018). This post briefly discusses the dismissal and its implications.

Background

In 2013, ExxonMobil received various inquiries and shareholder proposals requesting more information about how it factored climate change risks and regulations into its business decisions. In exchange for the withdrawal of two shareholder proposals, ExxonMobil agreed to publish two reports with additional information about the manner in which ExxonMobil handles regulatory changes with respect to emissions of greenhouse gases.

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