ESG has gone through a maturation process, marked by scrutiny on the left and pressure on the right, with the result that companies are refocusing their efforts on ESG topics that are relevant to the business and ESG measures that are right-sized for their organizations. As companies revisit and redesign their ESG roadmaps through this new lens, legal, regulatory and governance drivers are playing a more significant role than ever before, and lawyers, both in-house attorneys and outside counsel, are being called on to oversee strategic ESG initiatives, serve as internal ESG champions, and chair management-level steering committees composed of representatives from across the enterprise. These regulatory drivers also interact in complicated and nuanced ways with voluntary standards, which despite concerted efforts towards convergence, still differ in meaningful ways. Meanwhile, commercial ESG requirements from customers or other business partners, flowed down in supplier policies and incorporated into contracts, have emerged as an extremely influential ESG driver, and for smaller companies, can often determine the contours and content of an ESG program. These developments have combined to create significant challenges for companies from an internal oversight and management perspective, as they wrestle with how to effectively advance strategic ESG objectives against the backdrop of an ever-growing patchwork of laws, regulations and stakeholder expectations. This course will explore the role of law, regulation and governance in shaping ESG strategy and the methods used by companies to manage this complexity, including with respect to climate-related matters, product sustainability claims, diversity, equity and inclusion, human rights, responsible sourcing, and sustainability and AI. Elements used in grading: Attendance, class participation, final paper.
2 units · Law Honors/Pass/Restrd Cr/Fail
ESG has gone through a maturation process, marked by scrutiny on the left and pressure on the right, with the result that companies are refocusing their efforts on ESG topics that are relevant to the business and ESG measures that are right-sized for their organizations. As companies revisit and redesign their ESG roadmaps through this new lens, legal, regulatory and governance drivers are playing a more significant role than ever before, and lawyers, both in-house attorneys and outside counsel, are being called on to oversee strategic ESG initiatives, serve as internal ESG champions, and chair management-level steering committees composed of representatives from across the enterprise. These regulatory drivers also interact in complicated and nuanced ways with voluntary standards, which despite concerted efforts towards convergence, still differ in meaningful ways. Meanwhile, commercial ESG requirements from customers or other business partners, flowed down in supplier policies and incorporated into contracts, have emerged as an extremely influential ESG driver, and for smaller companies, can often determine the contours and content of an ESG program. These developments have combined to create significant challenges for companies from an internal oversight and management perspective, as they wrestle with how to effectively advance strategic ESG objectives against the backdrop of an ever-growing patchwork of laws, regulations and stakeholder expectations. This course will explore the role of law, regulation and governance in shaping ESG strategy and the methods used by companies to manage this complexity, including with respect to climate-related matters, product sustainability claims, diversity, equity and inclusion, human rights, responsible sourcing, and sustainability and AI. Elements used in grading: Attendance, class participation, final paper.
Offered in Spring 2027 at Stanford University.