Authors: Wilma Rix, Sara Feijao

UK High Court confirms that climate-related action against Shell cannot proceed

The High Court has confirmed that ClientEarth, an environmental NGO, cannot bring a derivative action against Shell plc’s board of directors for alleged failures in their handling of climate risks. The decision emphasises that the court is reluctant to interfere in directors’ management and commercial decision-making, that it is for the directors themselves to determine how best to promote the success of their company, and that companies’ AGMs might be a more appropriate forum for disagreements over a company’s climate strategy.