Latham & Watkins’ “Voluntary ESG ‘Materiality’ Assessments — Legal Considerations and Dos and Don’ts” is an excellent resource for those companies grappling with how to prioritize and tackle the items on their ESG agenda. The memo explains what an ESG materiality assessment is (and isn’t); outlines the critical steps associated with conducting an assessment; and provides best practice tips (e.g., expressly defining “materiality” for purposes of the company’s ESG materiality assessment vs. securities law purposes, biennial refreshment of the materiality assessment). The memo also includes a sample materiality map, which illustrates the expected output of a properly conducted materiality assessment, and a sample ESG roadmap, which companies may consider and tailor to their particular facts and circumstances.
Access additional resources on our Sustainability page.
This post first appeared in the weekly Society Alert!