Twenty AGs Filed Amicus Brief Defending DOL’s Rule Allowing Retirement Plan Fiduciaries to Consider ESG Factors

New York Attorney General Letitia James led a coalition of 20 attorneys general in filing an amicus brief supporting of the Department of Labor’s rule that allows fiduciaries of private-sector employee retirement plans to consider investments that are more sustainable and recognize factors, such as climate change and social impact, in making investment decisions. In their brief, the AGs explained that fiduciaries managing Employee Retirement Income Security Act of 1974 (ERISA) plans should consider all factors that minimize risk and maximize return. The states argued that ignoring ESG factors does a disservice to ERISA plan participants because it could leave resources for their retirement on the table and may even constitute a violation of a fiduciary’s duties, as ESG factors are often relevant to risk and return.

• Documents: Amicus Brief
• Document Type: Briefs
• States: Arizona California Colorado Connecticut Delaware Hawaii Illinois Maine Maryland Massachusetts Michigan Minnesota Nevada New York Oregon Pennsylvania Rhode Island Vermont Washington Washington, D.C.
• Agencies: Department of Labor
• Issues: Climate Finance
• Era: Biden Administration
• Action Type: Litigation