Business groups seek to pause California’s climate disclosure law

By Lesley Clark | 04/23/2025 06:43 AM EDT

But the state argues more transparency about planet-warming emissions is needed so investors and consumers can “make prudent financial decisions.”

California Gov. Gavin Newsom speaks during a press conference in Los Angeles.

California Gov. Gavin Newsom speaks during a Sept. 25, 2024, press conference in Los Angeles. Eric Thayer/AP

Business interests are asking a judge to put a temporary halt to California’s landmark climate disclosure laws, arguing that companies would otherwise be “irreparably injured.”

In a motion filed Monday, the U.S. Chamber of Commerce and the California Chamber of Commerce argued that unless a preliminary injunction is issued, California-based companies would be required to report climate information before a lawsuit challenging the laws can be settled.

“It is beyond dispute that ‘the loss of First Amendment freedoms, for even minimal periods of time, unquestionably constitutes irreparable injury,’” the groups said, citing a 2023 federal court ruling that allowed religious student-led groups to meet on campus.

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The chambers argued further that “absent a preliminary injunction,” injury would occur. “Companies must begin speaking in mere months — on January 1, 2026 — and must prepare now, including by retaining data necessary to comply with the laws,” they added.

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