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?