Environmental, Social and Governance

We incorporate ESG factors into our legal advice. Our cross-firm ESG team provides support and advice to public and private sector organisations on all aspects of ESG, including:

environmental impacts, climate and sustainability;
impacts on society and managing relationships with colleagues, suppliers, customers, competitors and communities (including diversity and inclusion, human rights, supply chain, competition / antitrust, corruption and bribery); and
governance and compliance, focusing on visibility and accountability, risks, threats and opportunities, and long term value creation.

Environment

We are at the leading edge of environmental law and provide strategic and risk management advice to clients in many sectors. Our environment law specialists routinely advise clients on climate and sustainability issues and on projects to reduce carbon and progress the pathway to net zero.

Our experience is also regularly called upon by public bodies and regulators that are playing a key strategic role in developing national climate change targets.

Our services
Our experience

environmental impact assessment;
environmental due diligence and contractual protection mechanisms;
environmental regulatory standards, compliance, reporting requirements and disclosures;
development and implementation of environmental policies and codes of conduct;
climate change litigation.

advising Clyde Gateway on a ground-breaking geothermal project for low carbon heating;
advising a multi-national group on its participation in an ESG programme being run by its lenders;
providing training to UK lawyers of an international energy company in relation to climate change litigation.

Governance and Compliance

Our team supports clients with proactive and remedial steps to deliver optimum ESG performance. Drawing on international, multi-sectoral experience we advise clients on the implementation of ESG frameworks which enable them to comply with their legal obligations, secure commercial advantages and protect reputations.

We have particular expertise in advising clients in higher risk sectors including food and drink, energy, manufacturing and construction. We support clients in the aftermath of significant organisational events and help to put ESG performance back on track.

Our services
Our experience

strategic audits to identify and remediate risk areas;
development of policy frameworks, covering key ESG risks including sanctions, human rights, modern slavery, bribery and corruption, antitrust / competition law, the environment, and health and safety;
implementation of due diligence procedures for client suppliers and sub-contractors;
responding to adverse events including managing relationships with regulators and representing clients in enforcement proceedings;
sustainability reporting and supporting clients to obtain sustainability certifications.

supporting an energy major in the development and implementation of its sustainability strategy and annual sustainability reporting;
supporting an international food and drink client with the development of an ESG compliance framework, including steps to proactively manage ESG risks in its UK and international supply chains;
advising a global aerospace, defence and security client on mandatory ESG reporting requirements.
supporting an international energy client in connection with the resolution of an adverse ESG event arising in its UK operations including supporting engagement with regulators;
supporting a global manufacturing client in connection with the resolution of an adverse ESG event arising in its international supply chain, including liaising with regulators and law enforcement.

Employment

People management is core to ESG, and almost every aspect of the role of managing people can be viewed from an ESG perspective.

Our employment and immigration lawyers provide legal expertise, guidance, and strategic advice to help clients integrate ESG considerations into their business operations.

Our services
Our experience

policy development and review;
equality, diversity and inclusion;
working conditions, health and wellbeing;
recruitment, reward, recognition, performance and pay practices;
standards of conduct, managing breaches and whistleblowing processes;
employee relations, consultation, communication and engagement;
ESG training and development.

acted for a public body on a complex collective grievance and individual counter-grievance which involved allegations of race discrimination:
advised a financial client on issues about beliefs relating to gender identity;
advising a public sector body on a variety of matters including whistleblowing allegations, equal pay claims, equality matters, gender pay issues and harassment.

Corporate and Commercial

ESG matters can impact every aspect of a company's delivery of goods or services. With increasing scrutiny from a wide range of stakeholders ESG considerations are becoming ever more important for maintaining a strong professional reputation and brand.

Our Corporate and Commercial lawyers lawyers advise boards, corporates and stakeholders across many sectors on issues related to ESG.

Our services
Our experience

ESG due diligence in mergers, acquisitions, and other transactions;
contract review and drafting with a focus on ESG clauses e.g. supply chain ethics;
advising on preparation of ESG disclosures and sustainability reports;
strategies for engaging and managing action with shareholders and stakeholders;
managing adverse PR requiring reputation management including allegations of mis-selling and misrepresentation;
claims for breaches of directors' duties;
breach of contract claims with counterparties who require certain ethical standards to be met or maintained;
class actions.

advising a soft drinks producer on product packaging, labelling and advertisement compliance in relation to environmental and green claims;
advising a whisky producer on environmental aspects of product labelling and advertising;
providing an aerospace, defence and security business with guidance on developing an effective ESG regime;
advising a parent company on its liability of ESG issues in the supply chain issue and its subsidiaries;
advising a North Sea oil operator on the economic recovery of hydrocarbons from existing fields in the context of the North Sea Transition Authority's strategy for the transition to net zero by 2050;
advising in respect of the order of priority of environmental liabilities in a corporate insolvency matter.

Real Estate

ESG considerations are of growing importance in the real estate sector, in particular the critical role that the built and natural environment will play in delivering a net zero economy.

Our real estate solicitors are experienced in advising landowners, investors, developers, funders and occupiers on a wide range of environmental and sustainability matters.

Our services:
Our experience

ESG, net zero and circular economy requirements and considerations for commercial and residential development schemes from planning to delivery;
contracts to reduce carbon emissions and improve sustainability for buyers, sellers, investors, asset managers and occupiers;
structuring options to fund energy efficiency improvements and retrofitting;
all aspects of renewable energy projects, including wind, solar, bioenergy, tidal, hydro and district heat networks and low carbon gas projects;
developing, operating and trading of natural capital projects;
dispute management and resolution for all property related contracts including dilapidation claims and recovery of costs for energy efficiency improvements.

developed bespoke net carbon zero agreement provisions for the development of the Student Loans Company office building at Buchanan Wharf, Glasgow;
acting on the redevelopment of office building 30 Semple Street, Edinburgh which has achieved several green awards;
advising the City of Edinburgh Council on the procurement of a renewable district heat project to provide low carbon heat to the Granton Waterfront;
advising an institutional investor on installation of rooftop solar panels on large scale logistics and industrial premises;
advising landowners on current and future energy standards of their rural property portfolios;
advising developers on net biodiversity gain and active travel requirements.

Construction

The construction industry is impacted by ESG considerations at all levels on a daily basis.

Our dedicated construction lawyers understand the industry and market our clients operate in, and we help them navigate the ESG landscape, including advising on appropriate drafting, the practical implications of the government's ESG agenda and the risks and potential exposure businesses can face, where they fail to comply with ESG requirements.

Our services
Our experience

advising on the risks and practical ramifications of agreeing performance criteria, including NABER and BREEAM;
providing advice on bespoke contractual climate change clauses;
advising on the requirements in tenders relating to the sustainability policies of contractors and consultants;
advising on the best procurement routes to optimise compliance with sustainability requirements;
advising on contractual clauses requiring certifications like BREEAM, Fitwel, EPC ratings as a pre-condition to practical completion;
drafting and negotiating appointments for sustainability consultants;
training on ESG risks and requirements, at all levels of the supply chain.

advising on contractual liability for achieving the Passivhaus standard and whether this amounts to a fitness for purpose obligation;
advising a client on a dispute regarding contractual responsibility to obtain environmental consents in relation to ongoing construction works;
advising on the development of Perth High School, one of the first high schools in Scotland to be built to Passivhaus standards and the development of Blackridge Nursey, the first public nursey in Scotland to be built to Passivhaus standards;
advising on compliance with Passivhaus standards in relation to a care home in England, including advice on defects and risk/liability for those defects.

Banking and Finance

Our banking and finance legal experts are leading advisers on sustainable finance, having advised on numerous ESG-linked funding arrangements across a wide variety of sectors.

We work with lenders, issuers, investors and borrowers to ensure funding arrangements contain meaningful targets and workable arrangements.

Our services
Our experience

advising lenders, issuers, investors and borrowers on the structuring and documentation of ESG linked terms in financing arrangements;
advising ESG co-ordinators and other parties in the documentation of meaningful ESG-linked targets and KPIs and reporting/audit requirements and the operation of margin ratchets.

advising the ESG co-ordinator and lending syndicate on sustainability linked loan arrangements for a leading UK social housing provider;
advising a leading bank on ESG linked terms embedded in a loan facility for a major commercial property investor;
advised on the earliest sustainability-linked loan provided to a Scottish housing association;
advising on an innovative green finance initiative for peatland restoration in the Flow Country;
advising a specialist finance provider on a funding proposal to bridge the net zero finance gap for a major UK housing group.

Funds and Investment Management

Our specialist funds lawyers act for funds, investment managers and investors that are focused on sustainable and impact investment strategies.

We have significant experience advising clients that are investing in sustainable infrastructure, forest carbon, peatland carbon and other biodiversity and natural capital assets. We work with our clients to support their participation in initiatives such as the Net Zero Asset Managers Initiative.

Our services
Our experience

advising managers on the Sustainable Finance Disclosure Regulation (SFDR), including impact on investment strategies, fund documentation and capital raising;
drafting SFDR disclosures in fund documentation and website disclosures;
advising on the legal requirements of the Taxonomy Regulation;
assisting investors with legal due diligence on funds that operate within the scope of SFDR and including SFDR advice in our legal due diligence reviews;
structuring and formation of carbon vehicles both domestically and working with selected advisers in relevant jurisdictions to deliver international projects.

advising Gresham House Asset Management on fund formation, joint ventures, operational and regulatory matters for its ESG focused investment funds covering sustainable assets and infrastructure;
advising a financial institution on the purchase of carbon credits, including advising on the operation of the Woodland Carbon Code and the process for buying pending issuance units;
fund structuring and formation of a New Zealand forest carbon vehicle.

The practice has an exemplary ESG service and are always willing to get involved.

Legal 500 UK 2024

They are always open to exploring potential synergies to make client interactions more effective.

Legal 500 UK 2024

Brodies have proved responsive, client-focused and extremely knowledgeable. They show a real strength in depth with respect to Scots law matters, and we have had an excellent experience working with their strong lawyers.

Legal 500 UK 2024