Group of Businesses Sue California to Block New Climate Disclosure Laws

Published on February 1, 2024

Faced with new regulations that would require thousands of companies in California to calculate and disclose emissions, a group of businesses filed a lawsuit Jan. 30 in the U.S. District Court in Los Angeles to overturn the laws. At issue are Senate Bills 253 and 261, requiring comprehensive greenhouse gas disclosures for businesses with revenues exceeding $1 billion and $500 million, respectively. “Both laws unconstitutionally compel speech in violation of the First Amendment and seek to regulate an area that is outside California’s jurisdiction and subject to exclusive federal control by virtue of the Clean Air Act and the federalism principles embodied in our federal Constitution,” the lawsuit alleges....