SEC Delays Date of Climate-Related Disclosure Rules Due to Legal Challenges

SEC Delays Date of Climate-Related Disclosure Rules Due to Legal Challenges

By Prathamesh 24 April, 2024

The Securities and Exchange Commission (SEC) have decided to hit pause on the implementation of the Final Rules regarding climate-related disclosures for investors. Originally set to kick in from 2026, the effective date has been postponed while the (varied!) legal challenges are dealt with.

The Final Rules, published on 28 March, require filers to provide specific climate-related information in their registration statements and annual reports.

In early March petitions for review of the Final Rules flooded multiple courts of appeals. The SEC swiftly responded, filing notices and motions, leading to consolidation of proceedings in the US Court of Appeals for the Eighth Circuit.

While the SEC remains committed to defending these rules vigorously, they’ve opted to pause their implementation until legal matters are resolved. This decision is designed to to “ensure regulatory certainty and give space for the court of appeals to focus on deciding the merits of the case”.

To find out more details please visit : https://www.xbrl.org/