This Australian legal opinion was commissioned by Pollination Law and the Commonwealth Climate and Law Initiative and authored by Sebastian Hartford-Davis and Zoe Bush. The opinion makes clear that Australian company directors have a duty under corporations law to consider their company’s exposure to nature-related risks.
The idea that underpins the ‘Hartford-Davis & Bush Opinion’ is simple – Australia’s ecosystems are under threat and our economy depends, to a material degree, on those ecosystems. It is therefore reasonable that nature-related risks have the potential to cause harm to the interests of Australian companies.
Any director who is not acting to identify and appropriately manage material risks could be exposing themselves to potential legal consequences for breaching their duties.
About the Publishers
Pollination is a specialist investment and advisory firm, accelerating the transition to a net zero, nature positive and resilient future. Pollination regularly publish analysis and reports on nature-related topics, such as finance, governance, regulation and markets.
The Commonwealth Climate and Law Initiative examines the legal basis for directors and trustees to consider, manage, and report on climate change and broader environmental risks, opportunities and impacts, and the circumstances in which there may be liability for failing to do so. They also work to advance knowledge on effective sustainable governance practice.
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