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ARTICLE · 21 DECEMBER 2023

The Rise Of ESG Litigation And Horizontal Human Rights Enforcement

Loyens & Loeff
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ESG litigation is on the rise. There has been a strong increase in Environmental (climate change) litigation over the past years, as is also demonstrated in figures in the UNEP Report 2023.

European UnionLitigation, Mediation & Arbitration

ESG litigation is on the rise. There has been a strong increase in Environmental (climate change) litigation over the past years, as is also demonstrated in figures in the UNEP Report 2023.

Within climate change litigation, over time the focus has shifted from mainly targeting States to targeting companies. Based on the general (corporate) duty of care in Dutch law and human

rights, companies are more and more held responsible by interest organizations for their alleged impact on climate change. Such private enforcement of human rights against companies is not limited to Environmental (ESG) litigation, but also increasingly involves Social (ESG) litigation.

Although (corporate) governance litigation is seen less frequently up till this point, the importance of a ESG fit corporate governance is and will remain key as legislative developments might lead to an increase in liability and litigation risks. What to expect next?

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