California Climate Laws Among Key Topics in Securities Law and Corporate Governance


18 minute listen | November.13.2023

California has adopted the most comprehensive corporate climate disclosure laws in the United States.

J.T. Ho, Co-Head of Orrick's Public Companies & ESG practice, provided an overview of three laws affecting companies doing business in California in a recent podcast.

  • The Climate Corporate Data Accountability Act requires companies with annual revenues in excess of $1 billion to disclose their greenhouse gas emissions.
  • The Climate-Related Financial Risk Act requires companies with annual revenues in excess of $500 million to prepare climate-related financial risk reports.
  • The Voluntary Carbon Market Disclosures Act imposes disclosure requirements on companies that make net zero, carbon neutrality or similar claims, including through the use of voluntary carbon offsets.

In the podcast, hosted by Corporate Counsel, Ho also discussed:

  • Amendments to beneficial ownership reporting rules.
  • IAC's recommendations on human capital management disclosure.
  • The 5th U.S. Circuit Court of Appeals panel's decision upholding Nasdaq's board diversity disclosure rules.
  • The New York Stock Exchange’s clawback policy affirmation requirement.