Events
Jenny Speck to Speak at Lockton U.S. Energy Risk Summit
Partner Jenny Speck will speak at Lockton’s U.S. Energy Risk Summit on November 12, 2026, in Houston, Texas. The summit …
November 12, 2026
November 12, 2026 • 1-minute read
Insight
Client Alerts
V&E SEC Update
February 1, 2024 • 3-minute read
On January 30, 2024, the U.S. Chamber of Commerce and five co-plaintiffs representing a coalition of business groups filed a lawsuit against the state of California seeking to block the state’s new landmark climate disclosure laws. The plaintiffs filed suit in the U.S. District Court for the Central District of California, arguing that the Climate Corporate Data Accountability Act (“CCDAA”) and the Climate-Related Financial Risk Act (“CRFRA”) “unconstitutionally compel speech in violation of the First Amendment and seek to regulate an area that is outside California’s jurisdiction.”
The CCDAA and CRFRA impose climate-related disclosure requirements, including requiring the annual disclosure of Scope 1, 2, and 3 greenhouse gas (“GHG”) emissions, on public and private entities that “do business” in California and have annual revenues above certain thresholds. California Governor Gavin Newsom signed both the CCDAA and CRFRA into law on October 7, 2023, but the implementation of these laws has already faced several hurdles. Upon signing the laws, Governor Newsom sent letters to the state senate pushing back on several features of the laws, including their implementation deadlines, and noted that his administration would seek to work with the authors of the legislation to address these issues. Additionally, on January 10, 2024, Governor Newsom released a budget proposal that featured cuts to the overall funding of the California Air Resources Board (“CARB”) and paused funding for the implementation of all newly signed laws, including the CCDAA and CRFRA, until May 2024. These first-of-their-kind laws1 have also been subjected to public scrutiny and concern from many in the business community, but the plaintiffs’ lawsuit marks the first legal challenge against the laws, and potentially signals what may await the Security and Exchange Commission’s climate-related disclosure rules once adopted.
The plaintiffs allege that the laws compel businesses to speak noncommercially on controversial political matters and, thus, are presumptively unconstitutional under the First Amendment to the U.S. Constitution. The plaintiffs further claim that requiring disclosure of “out-of-state emissions” is an unconstitutional attempt to regulate GHG emissions outside of California’s own borders in violation of the Supremacy Clause of the U.S. Constitution. Furthermore, the plaintiffs allege that the laws impose significant compliance burdens on companies, especially with regard to the reporting of Scope 3 GHG emissions. The plaintiffs therefore request that the court declare the two laws null, void, and with no force or effect and enjoin the CARB from taking any action to implement or enforce the laws.
Certain California politicians have already commented publicly on the claims, providing some indication for how the state may respond to the lawsuit. For example, State Senator Scott Wiener, who authored the CCDAA and previously spoke with Vinson & Elkins about the climate laws, issued a statement in which he characterizes the lawsuit as “baseless.” In his statement, Senator Wiener argues that it is “both inexpensive and easy for corporations to make these disclosures,” and further claims that “many major corporations like Apple and Google are already making these [climate-related] disclosures.”
The relief sought by the plaintiffs, if granted, would halt implementation and enforcement of the new disclosure laws in full. The lawsuit, however, is in its infancy, and it remains to be seen how courts will address the allegations or the relief requested.
We will continue monitoring this case and developments with respect to climate disclosure requirements generally. Please contact Vinson & Elkins to discuss these matters and their implications.
1 Note, however, that other states, including Washington, New York, and Illinois, have proposed similar climate change reporting bills.
This information is provided by Vinson & Elkins LLP for educational and informational purposes only and is not intended, nor should it be construed, as legal advice.
Discover our latest:
Events
Jenny Speck to Speak at Lockton U.S. Energy Risk Summit
Partner Jenny Speck will speak at Lockton’s U.S. Energy Risk Summit on November 12, 2026, in Houston, Texas. The summit …
November 12, 2026
November 12, 2026 • 1-minute read
CLE Events
Sixth Annual Navigating the Annual Meeting and Reporting Season
Join leading practitioners and industry voices for a timely discussion of the legal, regulatory, and governance developments shaping the next proxy season.
November 11, 2026
November 11, 2026 • 2-minute read
Events
Jenny Speck Speaking at 2026 AFCC Global Biobased Economy Conference
Partner Jenny Speck will speak at the 2026 AFCC Global Biobased Economy Conference & Exhibit in a session titled “Tax …
November 3, 2026
November 3, 2026 • 1-minute read
Articles
Executive Order 14421: Managing the Risk of a Ban on Chinese Grid Equipment
The nation’s electric grid depends heavily on foreign-made equipment, much of it from China. Depending on how the Dept. of …
October 30, 2026
October 30, 2026 • 1-minute read
Podcasts
Powering Progress Episode 14 – Environmental Litigation and the New Data Center Playbook
This series has explored the extraordinary investment flowing into data centers and the challenges surrounding power, real estate, financing, and …
October 29, 2026
October 29, 2026 • 14-minute read
Media Coverage
Stephanie Noble Featured in Energy & Mineral Law Foundation Member Spotlight
Partner Stephanie Noble was featured in the Energy & Mineral Law Foundation (EMLF) Member Spotlight, where she discussed her path …
October 28, 2026
October 28, 2026 • 1-minute read
Deals & Cases
Vinson & Elkins advised GridStor in connection with the financing of White Tank, a 100 MW / 400 MWh stand-alone …
October 28, 2026
October 28, 2026 • 1-minute read
Firm News
Vinson & Elkins Hires Corporate Partner Lisa Morales
Morales is an experienced M&A lawyer who advises major public companies, financial institutions, and private capital clients on strategic transactions. …
October 28, 2026
October 28, 2026 • 2-minute read
Deals & Cases
Vinson & Elkins Represents Perella Weinberg Partners as Financial Advisor in EQT Takeover of Qiagen
Vinson & Elkins is representing Perella Weinberg Partners as financial advisor to the Supervisory Board of Qiagen N.V. in connection …
October 22, 2026
October 22, 2026 • 1-minute read
Media Coverage
Jon Solorzano Discusses Declining Proxy Advisor Influence with FT Agenda
Vinson & Elkins Partner Jon Solorzano spoke with FT Agenda about the declining influence of proxy advisors like ISS and …
October 21, 2026
October 21, 2026 • 1-minute read
Articles
Law Is a Practice. So Is Business Development.
Randi Revisore, Lauren Alford, and DeAnna Englezos reflect on two years of success leading BD Lab — Vinson & Elkins’ …
July 14, 2026 • V&E+ | Values
July 14, 2026 • 7-minute read
Articles
Data Center Dealmakers: A New Era of Power and Compute
Vinson & Elkins Partners Creighton Smith and Milam Newby share the story behind a groundbreaking AI infrastructure transaction — and …
June 15, 2026 • V&E+ Ventures
June 15, 2026 • 5-minute read
Client Alerts
Mid-Level Mindset: Empowering Lawyers Through a Pivotal Career Stage
Vinson & Elkins’ inaugural Mid-Level Associate Summit brought lawyers from across the firm to Houston for three days of learning …
March 31, 2026
March 31, 2026 • 5-minute read
Client Alerts
Pro Bono at Vinson & Elkins: Lawyers Changing Lives
Pro Bono Counsel Parker Cragg reflects on a life dedicated to service, returning to Vinson & Elkins, and wisdom he has picked up along the way.
October 20, 2025 • V&E+ Values
October 20, 2025 • 6-minute read
Client Alerts
The Genuine Cup: Soccer Strengthens Our Communities
Vinson & Elkins Chair Keith Fullenweider and Vice Chair Hilary Preston, alongside partners Creighton Smith and Jenny Speck, sit down for conversation on a global soccer tournament, the firm’s support for it, and their experience as spectators and volunteers.
August 27, 2025 • V&E+ Values
August 27, 2025 • 7-minute read
Thoughts or questions? Send us a note, and we’ll connect you with the right person.
our People
Please note that any communication with Vinson & Elkins via e-mail through this website does not constitute or create an attorney-client relationship with V&E. Please do not send any confidential information. A conflicts-of-interest procedure must be completed by V&E prior to establishment of an attorney-client relationship. When you execute an engagement letter from V&E you will be our client, and you may then exchange information freely with a V&E attorney.
By clicking “Accept,” you agree that we may review any information you transmit to us. You recognize that our review of your information, even if it is highly confidential and even if it is transmitted in a good faith effort to retain us, does not preclude us from representing another client directly adverse to you, even in a matter where that information could and will be used against you.