On 21 March 2022, the US Securities and Exchange Commission issued its long-awaited proposed rules that, if adopted as currently drafted, would mandate both domestic and foreign registrants to make a variety of climate-related impacts and risk disclosures in registration statements and annual filings under the Securities Exchange Act of 1934.
On Monday the SEC released its long-awaited proposed rule changes that will require disclosure of climate-related risks that are reasonably likely to have a material impact on registrants. As noted in its press release, the SEC has focused on climate-specific rules in order to “provide investors with consistent, comparable and decision-useful information for making their investment decisions.”
In a sign that Congress continues to pursue bipartisan efforts to combat the use of forced labor in supply chains, Senators Josh Hawley and Kirsten Gillibrand have reintroduced the Slave-Free Business Certification Act of 2022. The Act would impose significant new compliance and disclosure requirements for many companies, requiring businesses with annual, worldwide gross receipts exceeding USD 500 million to conduct annual audits of their supply chains to detect any use of forced labor, report findings to the US Government, and face potentially significant fines and penalties for violations.
Baker McKenzie is pleased to launch the fourth in our Biden Supply Chain Policy video series focused on the critical minerals and strategic materials supply chain, which is another of the critical supply chains that has been a particular focus of the Biden Administration. This supply chain includes lithium, cobalt and other rare earths and minerals that are the building blocks of products used every day. The Biden Administration has been pursuing policies aimed at diversifying this supply chain, such as through on-shoring or near-shoring refining capacity.
In an era where supply chain disruptions and risks are regular front-page news, the Biden Administration has been undertaking a range of initiatives intended to create resilient supply chains that reflect the administration’s policies around national security, foreign policy, human rights and the US economy.
The New York State Senate this month unveiled the “Fashion Sustainability and Social Accountability Act”. The Act, if enacted, will require every fashion retail seller and manufacturer that does business in New York and has over USD 100 million in annual worldwide gross receipts to make a number of sustainability and social disclosures.
Baker McKenzie Partner Reagan Demas spoke on global supply chain compliance risks and other legal hurdles luxury businesses could face in the year ahead during a complimentary webinar hosted by Positive Luxury on Thursday 13 January.
In the first of our short videos, Kerry Contini (Partner, Washington, DC), Reagan Demas (Partner, Washington, DC), Christina Conlin (Partner, Chicago) and Maria Piontkovska (Associate, Los Angeles) focus on some of the key trends and priorities for companies across sectors and industries.
As a part of its annual Virtual Trade Week series, US Customs and Border Protection issued a list of Frequently Asked Questions on forced labor (“the FAQs”). The FAQs consist of responses to ten questions focused on current issues and latest developments in forced labor enforcement.
On June 8, 2021, the White House published a set of reports on the 100-day interagency reviews conducted pursuant to Executive Order 14017 “America’s Supply Chains” (“the Reports”). The Reports were accompanied by a White House Fact Sheet summarizing the key findings, expressing support for some of the policy recommendations, and announcing additional Biden Administration measures directed at strengthening the resilience of the country’s supply chains.