On October 13, AmCham’s Legal Committee and the Sustainability & Innovation Committee hosted a 1,5 hours workshop on ‘climate clauses’ in collaboration with The Chancery Lane Project (TCLP).
TCLP uses the power of legal contracts to tackle climate change. Their goal is to shift the dial and make climate-conscious drafting the norm as quickly as possible. During the workshop, Becky Annison, Director of Engagement at TCLP, explored why contracts are the secret weapon against climate change, how to use contract clauses to deliver climate goals, example clauses and the benefits of using climate clauses, as well as masterclass tips and tricks for making sure clauses stay in the contract during negotiation and are complied with.
A wide range of issues can be incorporated into contracts, during all stages of the contract cycle. Four example clauses were discussed: climate change due diligence questionnaires for suppliers, net zero target supply chain cascades, template board papers for significant contracts / transitions, and termination in favor of greener suppliers. Becky Annison used a case study to illustrate how businesses already incorporate these clauses, and how they help their partners achieve compliance through a proactive approach. A good example here was Salesforce who, for example, help their suppliers to set science based targets of their own by 2024.
AmCham cordially thanks The Chancery Lane Project, specifically Becky Annison for facilitating this interesting workshop and Khaled Dadi from DLA Piper for his expert perspective.
