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Blog: SEC charges another company for misleading cybersecurity disclosure

It’s déjà vu all over again! On Monday, the SEC announced settled charges against Pearson plc, an NYSE-listed, educational publishing and services company based in London, for failure to disclose a cybersecurity breach. You...more

Blog: How do companies approach climate disclosure?

So, what are the GHG emissions for a mega roll of Charmin Ultra Soft toilet paper? If you guessed 771 grams, you’d be right…or, at least, according to this article in the WSJ, you’d be consistent with the calculations of its...more

Blog: Gensler discusses potential elements of climate risk disclosure rule proposal

In remarks yesterday on a webinar, “Climate and Global Financial Markets,” from Principles for Responsible Investment, SEC Chair Gary Gensler offered us some clues about what to expect from the SEC’s anticipated climate...more

Blog: BlackRock flexes its muscles during the 2020-21 proxy period

Although BlackRock, which manages assets valued at over $9 trillion, and its CEO, Laurence Fink, have long played an outsized role in promoting corporate sustainability and social responsibility, BlackRock has also long been...more

Blog: Acting Enforcement Director warns of ESG enforcement actions

According to Law 360 reporting on a webcast panel last week, Acting Director of Enforcement Melissa Hodgman, warned that, in addition to “increased scrutiny” of “funds touting green investments,” we may well see more ESG...more

Blog: Bills introduced to address 8-K trading gap—again

In 2015, an academic study, reported in the WSJ, showed that corporate insiders consistently beat the market in their companies’ shares in the four days preceding 8-K filings, the period that the researchers called the “8-K...more

Blog: Is tax transparency the new ESG disclosure demand?

When the press publishes articles alleging that a slew of profitable businesses are, quite legally, not paying much—if anything—in income taxes, and politicians argue that companies are just not paying their fair share, it’s...more

Blog: SEC Advisory Committee makes recommendations on ESG disclosure

Yesterday, at a meeting of the SEC’s Asset Management Advisory Committee, the Committee adopted recommendations (developed by the ESG Subcommittee) regarding ESG disclosure by issuers, intended to improve the information and...more

Blog: Can hypothetical risk factors be misleading?

In In re Alphabet Securities Litigation, the State of Rhode Island, as lead plaintiff, filed a Rule 10b-5 action against Google LLC, its holding company Alphabet, Inc., and certain executives, alleging that the defendants...more

Blog: Commissioner Lee discusses board’s role in ESG oversight

On Monday, in a keynote address before the Society for Corporate Governance 2021 National Conference, SEC Commissioner Allison Herren Lee discussed the challenges boards face in oversight of ESG matters, including “climate...more

Blog: Commissioner Roisman asks: Is the SEC the right agency for rulemaking about ESG disclosure?

In a recent speech, SEC Chair Gary Gensler conveyed a sense of full steam ahead with regard to mandatory disclosure requirements about climate and human capital. (See this PubCo post.) The day before, Commissioner Elad...more

Blog: Gensler discusses SEC agenda

In remarks yesterday at London City Week, SEC Chair Gary Gensler elaborated a bit on the bare bones of some of the almost 50 items on the Reg-Flex Agenda that was made public earlier this month. (See this PubCo post.) In...more

Blog: Shareholder proposals for political spending disclosure make headway this proxy season

The January 6 attack on the Capitol and the subsequent efforts to rewrite voting and vote-counting laws led many companies and CEOs to speak out, sign public statements and pause or discontinue some or all of their political...more

Blog: SEC charges company with disclosure controls violation as a result of cybersecurity failure

Once again, a “control failure” is a lever used by SEC Enforcement to bring charges against a company, this time for failure to timely disclose a cybersecurity vulnerability. Yesterday, the SEC announced settled charges...more

Blog: Lots to see on the SEC’s Spring 2021 Reg Flex Agenda

Late Friday, the SEC announced that its Spring 2021 Regulatory Flexibility Agenda—both short-term and long-term—has now been posted. And it’s a doozy. According to SEC Chair Gary Gensler, to meet the SEC’s “mission of...more

Blog: Lee agrees on easing cost of ESG compliance

How often does this happen? SEC Commissioners Allison Lee (D) and Elad Roisman (R) on the same page? Ok, well, maybe they’re just on the same fragment of a sentence, but still…. Bloomberg is reporting that, at the WSJ’s CFO...more

Blog: Gensler plans to “freshen up” Rule 10b5-1

Yesterday, in remarks before the WSJ’s CFO Network Summit, SEC Chair Gary Gensler scooped the Summit with news of plans to address issues he and others have identified in Rule 10b5-1 plans. Problems with 10b5-1 plans have...more

Blog: Commissioner Roisman suggests ways to reduce the costs of ESG disclosure

In remarks yesterday before the ESG Board Forum, Putting the Electric Cart before the Horse: Addressing Inevitable Costs of a New ESG Disclosure Regime, SEC Commissioner Elad Roisman weighed in with his views on mandatory...more

Blog: SEC Commissioner Lee dispels myths about materiality

Earlier this week, SEC Commissioner Allison Lee delivered keynote remarks at the 2021 ESG Disclosure Priorities Event hosted by the AICPA, the Chartered Institute of Management Accountants, SASB and the Center for Audit...more

Blog: White House issues Executive Order on climate

The White House has issued an Executive Order expressing its policy “to advance consistent, clear, intelligible, comparable, and accurate disclosure of climate-related financial risk… including both physical and transition...more

Blog: SEC to scrutinize company accounting for impact of climate

In February, then-Acting SEC Chair Allison Lee directed the staff of Corp Fin, in connection with the disclosure review process, to “enhance its focus on climate-related disclosure in public company filings,” starting with...more

Blog: Under Armour’s failure to disclose order “pull forwards” comes under fire at the SEC

On Monday, the SEC announced settled charges against Under Armour, Inc., a manufacturer of sports apparel, for misleading investors by failing to disclose material information about its “revenue management practices.” ...more

Blog: Not much data disclosed on human capital, according to new survey

When, in August 2020, the SEC considered adopting a new requirement to discuss human capital as part of an overhaul of Regulation S-K, the debate centered largely on principles-based versus prescriptive regulation—a debate...more

Blog: SEC charges eight companies for deficient Forms 12b-25

At the end of last week, the SEC announced that it had filed settled charges against eight companies for failing to disclose in their Form 12b-25 filings (Form NT Notification of Late Filing) that their late filings of...more

Blog: Russia’s treatment of Navalny could have implications for your disclosure obligations

You might recall that the Iran Threat Reduction and Syria Human Rights Act added Section 13(r) to the Exchange Act, which requires public reporting companies that knowingly engaged (directly or through affiliates) in certain...more

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