A federal appeals court on Nov. 18 paused a California law that would require many companies to prepare climate-related financial risk reports.
A three-judge panel from the U.S. Court of Appeals for the Ninth Circuit prohibited California officials from taking steps to enforce the law, Senate Bill 261, set to take effect in January 2026.
The one-page decision, which did not offer any reasoning, also allowed California to enforce a separate law, Senate Bill 253, that requires large companies to annually disclose their carbon emissions.
Daryl Joseffer, chief counsel for the U.S. Chamber of Commerce, one of the groups that sued over the law, arguing it violates the companies’ First Amendment rights, celebrated the decision….