Beyond the greenwashing buzzword: ESG-washing as a concept and a legal definition

Growing regulatory scrutiny and expanding disclosure regimes are exposing companies to legal risk where sustainability claims are overstated or insufficiently substantiated, write Marit Bosselaar, partner at Loyens & Loeff, and associates Sjoerd Pennink and Luca Hilvering.

Shareholder proposals fall sharply amid SEC pressure, report finds 

A new report finds a steep drop in ESG-related shareholder resolutions in 2026, with proponents shifting towards private engagement as regulatory changes reshape the proxy landscape.

EU Empowering Consumers Directive to force shift away from generic green claims

In a conversation with Forward Law Review, Bird & Bird partner Constantin Eikel said new EU rules will force companies to abandon broad sustainability language in favour of detailed, on-pack substantiation.

CMS hires ClientEarth climate litigation lawyer 

Paul Benson joins the firm’s London disputes practice after five years at the forefront of climate and ESG litigation. He talks to Forward Law Review.

IBM pays US$17m to resolve allegations tied to DEI practices 

Settlement marks first resolution under US Department of Justice’s Civil Rights Fraud Initiative targeting federal contractors.

Forward Thinking

Can SAF still be called ‘sustainable’? 

Forward Thinking: The aviation industry is pushing back against EU fuel rules and carbon pricing as courts, regulators and campaign groups increase scrutiny of how sustainable aviation fuel is described. 

Santos ruling clarifies how Australian courts may test corporate climate transition claims 

The Federal Court of Australia’s decision in ACCR v Santos highlights the evidential and governance standards companies will need to support forward-looking net-zero and transition pathway statements. With analysis by Paul Schoff, partner at MinterEllison, Sydney.

US antitrust scrutiny is reshaping collective ESG initiatives 

From asset manager stewardship and proxy advice to packaging initiatives and diversity programmes, US antitrust law is increasingly being invoked against collective sustainability activity – in comparison with a more permissive approach in the EU and other jurisdictions. 

Analysis

EU Forced Labour Regulation: a de facto due diligence regime 

Despite lacking explicit due diligence obligations, the regulation’s enforcement model will require companies to demonstrate robust supply chain controls, write Guillaume Croisant, James Marlow, Bruno Garcia da Silva and Pierre-Noé Milcamps at Linklaters.

Ending the EPA’s endangerment finding could reopen the door to climate tort claims 

If the US Environmental Protection Agency abandons its authority to regulate greenhouse gases, the legal foundation that displaced common-law climate lawsuits may collapse – potentially triggering new litigation against energy companies, writes Sambhav Sankar, senior vice president for programmes at Earthjustice.

US–Argentina agreement could reshape forced labour and environmental due diligence rules  

María Victoria Tuculet, partner at Bomchil, examines how new trade commitments could require Argentine companies to address forced labour risks and strengthen environmental governance despite anti-ESG rhetoric in Washington and Buenos Aires.

Setbacks and breakthroughs: rethinking ESG 

Even as ESG regulation is rolled back, transparency, supply-chain integrity and disciplined board decision-making remain central to resilience, trust and long-term profitability, writes Ingo Theusinger, partner and head of ESG at Noerr, Dusseldorf.

Community

PRIME looks to widen access to legal careers as it plans next phase of growth

New co-chairs Cat Greenwood-Smith and Molly Lewis talk to Forward Law Review as PRIME expands its work experience and school outreach programmes to mark its 15th anniversary.

In-house view: Statton Hammock on carbon markets and guiding operational decision-making

Verra’s general counsel talked to Forward Law Review about how Article 6 is reshaping the regulatory and voluntary carbon markets, the need to ask probing questions, and why legal’s role is to advise rather than decide. 

In-house view: Rosa Oyarzabal on ESG preparedness and navigating regulatory uncertainty 

The Qualcomm legal counsel discusses the challenge of preparing for fast-moving ESG rules and how her route from Brussels private practice into a global business reshaped her view of the role.

Editor's Picks

US climate insurance lawsuit paused pending Supreme Court ruling 

A federal judge has paused a Washington state climate lawsuit brought by homeowners against a group of oil and gas companies while the US Supreme Court considers a separate case that could determine whether such claims can proceed under state law. 

Vanguard strikes US$29.5 million settlement with Texas in coal antitrust case 

Asset manager agrees to restrict stewardship activities and expand proxy voting as multistate ESG antitrust litigation continues against BlackRock and State Street.

US Supreme Court to decide whether federal law bars state climate tort claims 

Exxon and Suncor secure review of Colorado ruling that allowed Boulder’s nuisance and deception claims to proceed, putting the scope of federal pre-emption in climate litigation before the justices.

NGOs challenge Commission over ‘sustainable’ label for planes and ships 

A hearing at the EU General Court will test whether the European Commission lawfully refused to review Taxonomy criteria allowing LNG-powered vessels and conventional aircraft to qualify as green investments.

CSDDD scope cut by 71% after Omnibus revision, SOMO data shows 

Updated analysis identifies 974 corporate groups in scope as narrowed thresholds focus regime on largest companies.

Canada appoints council to define sustainable investment standards 

The new body will set criteria for ‘green’ and ‘transition’ activities and develop transition planning guidance, with implications for disclosure and regulatory alignment.

PRIME looks to widen access to legal careers as it plans next phase of growth

New co-chairs Cat Greenwood-Smith and Molly Lewis talk to Forward Law Review as PRIME expands its work experience and school outreach programmes to mark its 15th anniversary.

Dutch government appeals Bonaire climate ruling and seeks pause on emissions order 

Cabinet says it has “weighty legal reasons” to challenge January judgment and will ask appeal court to suspend immediate obligation to write economy-wide absolute CO2 targets into national law.