Climate Change, West Virginia v. EPA, and the SEC's Distinctive Statutory Mandate.

Abstract

In March 2022, the Securities and Exchange Commission (SEC) proposed a rule that would require publicly traded companies to provide investors with various climate-related disclosures. See The Enhancement and Standardization of Climate-Related Disclosures for Investors, 87 Fed. Reg. 21344 (Apr. 11, 2022) (the Proposal). The rule has generated extensive debate; to date, the SEC has received more than 4,000 substantive comment letters and more than 10,000 form letters. Commenters have raised a variety of concerns about the Proposal, including questioning the extent to which the SEC has the authority to mandate climate-related disclosure. Since the Supreme Court’s June 2022 ruling in West Virginia v. EPA, some commentators have also asserted that the Proposal runs afoul of the major questions doctrine (MQD).