The new lawsuit against Starbucks shows that the anti-ESG backlash not limited just to legislation. As the lawsuit shows, the backlash can also take the form of litigation as well. The lawsuit also shows that there not only are advocates that will challenge companies for the lack of ESG initiative, there also are advocates that will challenge companies that are proactive on ESG. Thus, companies that are active on ESG issues could find themselves stepping into a political firestorm. And as this lawsuit shows it could subject the company to litigation risk as well.
‘Enforcement 40’ for 2020
Join Us On LinkedIn
Join the Securities Litigation and Enforcement Group on LinkedIn