Ropes & Gray·ENVIRONMENT / ESG / CLIMATE

Ninth Circuit Decides Appeal Over Preliminary Injunction of California SB 253, SB 261

The Ninth Circuit has ruled on the appeal of a denied preliminary injunction against SB 253 and SB 261, California's climate disclosure mandates; the source does not disclose the outcome or reasoning, so the opinion must be checked.

The Ninth Circuit issued a decision on the appeal of the Central District of California's earlier denial of a preliminary injunction sought against SB 253 and SB 261, California's climate-related disclosure statutes. The available material does not state whether the panel affirmed, vacated, or remanded the denial, nor does it describe the reasoning, so the operative holding — including any limitation on the mandates' scope, any timing relief, or the treatment of the separate reporting obligations under each statute — must be confirmed against the slip opinion before it is relied on.

Why sophisticated counsel and clients care: both statutes reach well beyond the largest registrants, with SB 253's revenue thresholds and SB 261's broader in-state revenue trigger drawing in a wide range of public and private companies, including non-California entities with California operations. A ruling on whether these mandates may proceed while litigation continues is therefore a gating question for emissions data collection, supplier engagement, controls over sustainability disclosures, and assurance readiness for reporting cycles now under way.

Concrete next steps: read the opinion and any dissent, confirm any deadlines or transition provisions it affects, and reassess disclosure-control and attestation workstreams for affected entities. Also watch for rehearing petitions or further appellate review, and for company and investor communications describing compliance posture in light of the decision.

sb-253sb-261climate-disclosureninth-circuitpreliminary-injunctioncaliforniaesg-reporting
Read the original firm alert → Wednesday, November 11, 2026

Stay ahead

Join the digest.

Each weekday's issue by email, through Substack. Or follow the RSS feed.