The U.S. Securities and Exchange Commission (SEC), submitted a status report to the Eighth Circuit Court of Appeals regarding ongoing litigation over its 2024 climate disclosure rules. The Rules, approved during the Biden administration, require companies to report specific climate-related information in registration statements and annual filings. After the presidential administration changed, the SEC suspended and later stopped defending the Rules. Despite this, several states remained involved as intervenor-respondents in the case, State of Iowa et al. v. U.S. Securities and Exchange Commission et al. The Eighth Circuit had placed the case on hold, requesting clarity from the SEC on its intentions.
In its report, the SEC said it “does not intend to review or reconsider the Rules at this time” and asked the court to resolve the case on its merits, emphasizing that “a live controversy over the validity of the Rules” still exists. The SEC acknowledged that most current Commissioners believe the agency lacked legal authority for the Rules, but added that “courts have the final say on statutory interpretation.” Commissioner Caroline Crenshaw criticized the report as “wholly unresponsive,” stating, “It has no intention of allowing the Rules to go into effect.” The Rules remain pending further court action.
