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2021 LAW FIRM CLIMATE CHANGE SCORECARD 2 TABLE OF CONTENTS TABLE OF CONTENTS CONTRIBUTORS & ACKNOWLEDGEMENTS .................................3 EXECUTIVE SUMMARY...............................................................................4 I: THE BUDDING MOVEMENT FOR A JUST, CLIMATE- COMPATIBLE LEGAL INDUSTRY...........................................................10 II: ENVIRONMENTAL JUSTICE AND FRONTLINE COMMUNITIES ...............................................................................................14 III: METHODOLOGY.......................................................................................16 IV: RESULTS......................................................................................................20 V: LIMITATIONS..............................................................................................25 VI: RECOMMENDATIONS & COMMITMENTS ..............................27 ENDNOTES & APPENDICES...................................................................30
2021 LAW FIRM CLIMATE CHANGE SCORECARD 3 CONTRIBUTORS & ACKNOWLEDGMENTS The 2021 Law Firm Climate Change Scorecard was developed and supported by: SCORECARD RESEARCH TEAM Research Lead: Michaela Anang, UC Davis School of Law, LSCA 2021-22 Board Research Chair Research Volunteers: Briana Elizondo, Indiana University Maurer School of Law Taylor Monney, University of Utah S.J. Quinney College of Law Annie Wiesenfeld, UC Hastings School of Law LSCA 2021-2022 BOARD Marjan Kris Abubo, UC Davis School of Law Josh Kirmsse, Stanford Law School Kyra Blas, Yale Law School Devin Oliver, Berkeley Law School Haley Czarnek, University of Alabama School Grecia Nuñez, American University of Law Washington College of Law A.J. Hudson, Yale Law School Aaron Regunberg, Harvard Law School Amelia Keyes, Harvard Law School LSCA CO-FOUNDERS Camila Bustos, Yale Law School Rachael Stryer, Yale Law School Tim Hirschel-Burns, Yale Law School Alisa White, Yale Law School FURTHER ACKNOWLEDGEMENTS LSCA would like to acknowledge the lineage of movement work dedicated to environmental justice which informs and has laid the groundwork for young organizers, budding legal workers, and beyond to engage critically in a just transition. We hope to work alongside communities on the frontline of the climate crisis whose lives and livelihoods have been built around or affected by toxic and destructive industries in order to support sustainability and a livable future. We also extend immense gratitude to Nadira Foster- Williams for her insights, solidarity and work and to Divest Ed for support.
2021 LAW FIRM CLIMATE CHANGE SCORECARD 4 EXECUTIVE SUMMARY EXECUTIVE SUMMARY America’s most prestigious law As driving declined and the firms have expanded their fossil economy stalled, many fuel work. recognized this moment of crisis as a chance to move away from Last year, Law Students for fossil fuels and move towards a Climate Accountability released just transition to a livable future. a first-of-its-kind Climate Scorecard, which catalogued The 2021 Climate Scorecard the climate-related work of the reveals that instead, top firms Vault 100 firms — the 100 top- fought even harder to accelerate ranked firms in the US — and climate change. On the whole, gave them grades for their data over a five-year window performance. Released in reveal a startling trend among October 2020, the report Vault 100 firms: focused on transactional, The top firms facilitated a litigation, and lobbying work stunning $1.36 trillion in fossil over a five-year span that fuel transactions, increasing revealed staggering data: the the top 100’s total by $50 large majority of firms were billion from last year’s report; exacerbating climate change, These firms also litigated facilitating $1.31 trillion in even more cases on behalf of transactions and fighting in fossil fuel clients, bringing hundreds of cases to continue the total from 275 warming the planet and representations to 358; and endangering low-income Even more firms earned F communities and communities grades, which requires a firm of color. While 2020 saw the to do 8+ cases exacerbating COVID-19 pandemic rage and climate change, support over the American West on fire, [1] $20 billion in fossil fuel dying the skies orange and transactions or receive over destroying entire communities, $2 million for fossil fuel the report served to highlight lobbying. 10 more firms Big Law’s role in climate joined the F class. In all, 36 injustice. firms managed to perform the extraordinary amount of But despite the dismal state of fossil fuel work necessary to affairs in Big Law and in the fail. world, some reason for optimism remained.
2021 LAW FIRM CLIMATE CHANGE SCORECARD 5 EXECUTIVE SUMMARY Some actors stand out as particularly This report is intended not only to egregious. For example, Akin Gump did document the legal industry’s complicity in more fossil fuel lobbying than 91 Vault 100 the climate crisis, but to support those firms combined. Allen & Overy did more inside and outside the industry trying to fossil fuel transactions than 75 Vault 100 realize a better future. firms combined, and Paul Weiss litigated more fossil fuel cases than 60 Vault 100 First, this report provides law students firms combined. Firms like these are global and young lawyers with a resource when leaders in the fight for climate change, deciding on their current and future dedicating top minds to the mission of a employment. Today’s law students are warmer planet. preparing for careers that will be profoundly shaped by the climate crisis, no matter But they are not alone. Only 3 firms received where they work. This scorecard provides a an A and 9 received a B, while 18 received a resource to begin understanding and C, 34 received a D and 36 received an F. On questioning the role that the legal industry the whole, 88 of the top 100 firms undertook plays in that crisis. It’s up to this generation work that worsened climate change. of lawyers to transform the legal industry into one that protects, rather than harms, The report also documents two promising the planet and communities. trends. Fossil fuel lobbying decreased, with firms receiving $34.9 million in Second, we hope this report will spur compensation for fossil fuel lobbying in this change in the Vault 100 firms themselves. report compared to $36.5 million in last Vault 100 firms undoubtedly provide year’s report. Firms also increased renewable excellent representation. These firms could energy transactions from $268 billion to use their extraordinary skills to accelerate $347 billion and renewable energy lobbying the transition to a sustainable future, but from $6.6 million to $8.3 million. But too many are instead lending their services ultimately, while these figures are moving in to the companies driving the climate crisis. the right direction, they remain woefully Law firms are increasingly recognizing their inadequate and are cold comfort to obligations to fight climate change, and communities who bear the burden of both they frequently emphasize their pro bono dangerous fossil fuel extraction and the work, internal sustainability measures, and worst consequences of climate change. ESG practices. Although these initiatives are welcome, law firms’ work for fossil fuel In early August, the United Nations clients exists on a far greater scale. Law firms International Panel on Climate Change cannot maintain reputations as socially (IPCC) released a major new scientific report responsible actors as long as they continue summed up by a New York Times headline: to support the destructive fossil fuel “A Hotter Future Is Certain, Climate Panel industry. Firms can take the Law Firm Warns. But How Hot Is Up to Us.” Law firms Climate Responsibility Pledge included in must reckon with the fundamental role they this report to agree to stop taking on new play in this crisis. From litigation to fossil fuel industry work, continue to take on transactional work to lobbying, the fossil fuel renewable energy industry work and interests that have created this emergency litigation to fight climate change, and to are aided by armies of the best trained completely phase out fossil fuel work by lawyers in the world. These firms understand 2025. their work has ethical implications, taking every opportunity to laud their pro bono hours. It is past time that each firm adopts an ethical standard for its climate work and makes clear which side of history it wishes to be on.
2021 LAW FIRM CLIMATE CHANGE SCORECARD 6 EXECUTIVE SUMMARY Third, this report calls upon clients of Law students are occupying offices, Vault 100 law firms, some of whom have disrupting recruiting events, speaking to their own commitments to mitigate their classmates, and standing in solidarity climate change, to ensure their legal with the communities that have led the representation is as committed to fighting fight for climate action and a just the global climate crisis as they are. We transition. Many within law firms are doing encourage law firm clients to review this their best to move their firms away from report and insist the law firms they hire extraction. Law firms have an ethical phase out support for the fossil fuel obligation to heed these calls to change. industry. If they refuse, we will only grow louder. The movement to change the legal industry is only growing. STUDENT TESTIMONIAL “WHEN I WAS CHOOSING A LAW FIRM TO SPEND MY SUMMER AT, IT TRULY MEANT A LOT TO ME TO KNOW THAT THE LAW FIRM THAT I WORKED FOR WAS NOT RESPONSIBLE FOR ENVIRONMENTAL HARM AND DEGRADATION. AS SOMEONE WITH AN ENVIRONMENTAL BACKGROUND, I PROMISED MYSELF BEFORE I ACCEPTED AN OFFER THAT I WOULD SERIOUSLY THINK ABOUT THE EFFECTS THAT A LAW FIRM HAS ON THE PLANET. WHEN I SAW THAT MANY OF THE LAW FIRMS I WAS INTERVIEWING FOR HAD RATINGS LOWER THAN A B, IT REALLY FORCED ME TO ASK THOSE LAW FIRMS QUESTIONS ABOUT WHERE THEIR RESOURCES GO AND HOW THEY CHOOSE THEIR CLIENTS ON THE ENVIRONMENTAL SIDE. I ULTIMATELY RELIED ON THE LAW FIRM CLIMATE CHANGE SCORECARD TO MAKE THE BEST AND MOST ENVIRONMENTALLY SOUND DECISION THAT I COULD FOR MYSELF. WITHOUT THE CLIMATE SCORECARD, I'M NOT SURE HOW I WOULD HAVE TRIED TO MAKE MY DECISION.” -VIVIENNE PISMAROV, 3L AT UC DAVIS SCHOOL OF LAW
2021 LAW FIRM CLIMATE CHANGE SCORECARD 7 EXECUTIVE SUMMARY TABLE 1 Vault 100 Fossil Fuel Work Over Time 2015 to 2019 2016 to 2020 Litigation* 275 358 Transactions** $1.31 trillion $1.36 trillion Lobbying*** $36.5 million $34.1 million *Number of representations in cases exacerbating climate change **Total value of fossil fuel projects supported ***Compensation received for lobbying Paul, Weiss worked on as many cases exacerbating climate change as 60 other Vault 100 firms combined. Allen & Overy was the legal advisor on more transactional work for the fossil fuel industry than 75 other Vault 100 firms combined. Akin Gump lobbied more for fossil fuel companies than 91 other Vault 100 firms combined.
8 EXECUTIVE SUMMARY TABLE 2 Vault 100 Work Mitigating Climate Change Over Time 2015 to 2019 2016 to 2020 Litigation* 26 25 Transactions** $268 billion $347 billion Lobbying*** $6.6 million $8.3 million *Number of representations in cases mitigating climate change **Total value of renewable energy projects supported ***Compensation received for renewable energy lobbying TOP 10 WORST FIRMS: TRANSACTIONAL WORK FOR THE FOSSIL FUEL INDUSTRY, 2016-2020 (USD BILLION*) Paul, Weiss Allen & Overy Akin Gump * USD billion in total project value
9 EXECUTIVE SUMMARY TOP 10 WORST FIRMS: LOBBYING WORK FOR THE FOSSIL FUEL INDUSTRY, 2016-2020 (USD MILLION*) * USD million in compensation for law firm TOP 10 WORST FIRMS: LITIGATION EXACERBATING CLIMATE CHANGE, 2016-2020 (ACTIVE CASES)
2021 LAW FIRM CLIMATE CHANGE SCORECARD 10 THE BUDDING MOVEMENT FOR A JUST, CLIMATE-COMPATIBLE LEGAL INDUSTRY SECTION I: THE BUDDING MOVEMENT FOR A JUST, CLIMATE- COMPATIBLE LEGAL INDUSTRY On January 15th, 2020, something They had little information on law unusual happened at Harvard Law firms’ roles in the climate crisis, School: dozens of students disrupted limiting their ability to weigh climate a Paul Weiss recruiting reception and justice in their career search. After the called for the law firm to drop protests in early 2020, a group of ExxonMobil as a client. [2] Direct seven students at Yale Law School action is rare in the legal profession, came together to compile data on even more so against the law firms law firms’ litigation, transactional, and that attract law students with fancy lobbying work that impacts climate dinners, promises of generous change. With this database and the salaries, and opportunities to engage Law Firm Climate Change Scorecard, in prestigious legal work. But the students could compare any of the Harvard law students saw that the top 100-ranked law firms based on urgent threat of climate change the extent of their work exacerbating demanded a break from the status or mitigating climate change. quo. Students at Yale, NYU, and Michigan agreed, holding their own LSCA has worked with students from protests of Paul Weiss recruiting over 50 law schools from across the events in the subsequent weeks. [3] country. LSCA’s network has shared Over 600 students ultimately the findings of the 2020 Law Firm pledged to boycott Paul Weiss until Climate Change Scorecard and raised the firm dropped Exxon as a client. awareness about the role of law firms in the climate crisis; attended law The momentum created by the Paul firm recruiting events to demand Weiss protests led to the October stronger climate action; and engaged 2020 launch of Law Students for more intentionally with the Climate Accountability (LSCA) and organizations and communities that the publication of the 2020 Law Firm have been leading the fight for Climate Change Scorecard. Students climate and environmental justice. protesting Paul Weiss realized how difficult it was to get information about how each Big Law firm’s work impacts climate change.
2021 LAW FIRM CLIMATE CHANGE SCORECARD 11 THE BUDDING MOVEMENT FOR A JUST, CLIMATE-COMPATIBLE LEGAL INDUSTRY In April 2021, LSCA launched its As a result, many students see employers #DoneWithDunn campaign to call on the who contribute to the climate crisis as law firm Gibson Dunn to commit to an clashing with their values. According to a ethical standard for its fossil fuel work. The recent poll, 40% of law students wouldn’t firm, which represents the Dakota Access represent a fossil fuel company. [7] Pipeline and Chevron, has yet to articulate any standard guiding its work for fossil Second, there is growing recognition that fuel clients other than profit. 88 law corporate lawyers are responsible for the student organizations have signed on to clients they choose to represent. The law the campaign, the largest law student firms representing Donald Trump’s attempts mobilization targeting a law firm in recent to overturn the 2020 election faced massive history. LSCA’s work has not gone without backlash, [8] while Neal Katyal, an Acting notice: outlets including The New Yorker, Solicitor General under the Obama Axios, and Reuters have covered LSCA’s administration, received extensive criticism work, and LSCA held an event with for representing Nestle over its connection Senators Sheldon Whitehouse and Jeff to child slavery in the Ivory Coast. [9] Law Merkley. [4] firms have long tried to evade criticism by arguing that everyone deserves representation. But young lawyers recognize LSCA Finding its Place in a Movement that this argument makes little sense in the context of law firms who receive massive The movement for a just transition is legal fees in exchange for providing rooted in struggles for livability and additional legal firepower to already well- environmental justice, forged by groups of represented and well-resourced predominantly low income communities corporations. of color, and this movement has begun to taken hold in the legal industry. [5] In Third, LSCA offers law students actionable 2020, LSCA launched a national ways to integrate their values into their movement of law students and young career search. Climate change is not the lawyers seeking just and equitable action only factor students consider in their career around climate change. Now, LSCA seeks search: students care about other justice to hold the legal industry accountable to issues, including but certainly not limited to environmental justice by addressing its firms’ track record of racial and gender role in exacerbating climate change and diversity in hiring and promotion. [10] Low- building a legal industry committed to a income and first-generation law students just, livable future. Several factors have may also face significant financial contributed to LSCA’s success and growth. constraints when choosing where to work. The Law Firm Climate Change Scorecard First, today’s law students see climate does not demand that students ignore all change as an issue of central concern. these considerations but rather allows Especially for low-income students and students to consider law firms’ role in the students of color, climate change climate crisis as a factor. Whether a student threatens (and is already wreaking) is considering a public interest career as immense harm to their lived environment, opposed to a law firm or choosing between community health, and wellness and Big Law firms, the scorecard allows students justice. Chronic exposure to air pollution, to incorporate climate justice into their which is endemic of environmental decision-making. Because LSCA organizes racism, was named as one of the law students across the country, students exacerbating factors for higher rates of considering prospective employers’ climate- severe illness and death from COVID-19 related work in their career search know within Black, Latinx, and Indigenous their collective efforts can influence firm communities. [6] behavior.
2021 LAW FIRM CLIMATE CHANGE SCORECARD 12 THE BUDDING MOVEMENT FOR A JUST, CLIMATE-COMPTAIBLE LEGAL INDUSTRY Limited Accountability in and their efforts to tackle recognition of the need to the Legal Industry climate change have tended take climate action. 39 Vault to focus on four primary 100 firms have joined the Law firms have belatedly areas. Law Firm Sustainability recognized the need to Network, which seeks to respond to climate change First, law firms have increase the sustainability of but have largely avoided the attempted to address the firms’ operations. {14] 12 most important action they sustainability of their Vault 100 firms have can take to address climate internal operations through participated in the Lawyers change: phasing out the measures like increasing for a Sustainable Economy provision of legal support to recycling and reducing initiative that connects law clients driving the climate travel. Second, law firms firms with pro bono crisis. Some law firms are have pointed to climate- sustainability work. [15] The meeting the urgency of the related pro bono work they Net Zero Lawyers Alliance moment, and as of August have undertaken. Third, law launched in June 2021, and 2021, nine firms have signed firms are increasingly six Vault 100 firms and a our Law Firm Climate establishing Environmental, number of other prominent Responsibility Pledge. Social, and Governance international law firms have Pledge signatories agree not Criteria (ESG) practices. [12] joined. [16] The Net Zero to work for the fossil fuel Fourth, law firms are seeking Lawyers Alliance sets strong industry and to engage in out work in the renewable targets for firms to reduce beneficial climate and energy sector. When five law their operational emissions. environmental work. Even firms offered official The commitments for among major corporate responses to the 2020 Law members of the alliance firms that have not made Firm Climate Change includes language on firms’ public commitments, some Scorecard, they primarily work for clients, and while have turned away clients on cited their work in these including this section climate change grounds. [11] four areas. [13] constitutes significant progress, it only calls on law Most law firms have not Law firms’ increasing firms to offer climate- responded as seriously to participation in compatible legal services the climate crisis, however, environmental initiatives “where possible.” points to their growing STUDENT TESTIMONIAL “I ELIMINATED FROM MY LIST ANY FIRMS THAT SCORED AN ‘F.’ I STILL WORKED AT A PRESTIGIOUS FIRM WITH GENEROUS COMPENSATION, AND THE CULTURE AND CLIENTS WERE GREAT. REMOVING THE ‘F’S’ FELT LIKE A SMALL SACRIFICE TO ME FOR A BIG IMPACT: I KNOW FIRMS WILL BE CAREFUL ABOUT WHICH CLIENTS THEY TAKE ON BECAUSE THEY DON’T WANT TO LOSE TALENT TO PEERS.” -ANONYMOUS, 3L AT YALE LAW SCHOOL
2021 LAW FIRM CLIMATE CHANGE SCORECARD 13 THE BUDDING MOVEMENT FOR A JUST, CLIMATE-COMPATIBLE LEGAL INDUSTRY These existing efforts to address climate The $500,000 of free legal services Hogan change are all welcome—and firms should Lovells contributed to the Lawyers for a continue to scale up these efforts—but they Sustainable Economy initiative in 2020 are insufficient. Law firms’ work for paying [21] makes up just 0.02% of the firm’s clients exists on a much larger scale than revenue. [22] their operational sustainability or pro bono work. For example, Latham & Watkins ESG counsel and renewable energy work announced that its operations became are also welcome but do not dilute the carbon neutral in 2020. [17] But the Dakota importance of phasing out the provision Access Pipeline, just one of the many of legal services to fossil fuel companies projects for which Latham & Watkins and other contributors to climate and arranged primary financing, generates environmental injustice. Lawyers can play lifecycle emissions 7,856 times greater than an important role in shaping clients’ the annual emissions the firm prevented by behavior through ESG counsel, but clients going carbon neutral. [18] Water protectors are not obligated to follow that advice who resisted the construction of the Dakota and ESG initiatives can serve as window Access Pipeline also suffered impacts from dressing for destructive activities. [23] the criminalization of their dissent, while Further, while the expansion of renewable companies supported by law firms continue energy is urgently needed, many firms to move forward seeking pipeline projects on that support renewable energy work also indigenous territories. [19] continue to support fossil fuel companies. This fossil fuel work will help lock in fossil Furthermore, while pro bono initiatives that fuel infrastructure use for years to come support environmental justice protections and jeopardize our chance at keeping are welcome, no Vault 100 firm devotes more global average temperature increase to than 10% of its billable hours to pro bono “well below 2°C above pre-industrial work, [20] and only a fraction of that pro levels.” [24] Law firms have also paid bono work is devoted to climate change- insufficient attention to ensuring related causes. renewable energy work does not replicate patterns of environmental injustice, which we address in the next section.
2021 LAW FIRM CLIMATE CHANGE SCORECARD 14 ENVIRONMENTAL JUSTICE TAKING THE LEAD SECTION II: ENVIRONMENTAL JUSTICE TAKING THE LEAD As law students, legal practitioners, With the support of consultation and advocates alike interrogate from community partners, firms’ fossil fuel activities, we must colleagues, and activists, we agree also ask: Is it enough to advocate that activities to support the against a law firm’s representation advancement of renewable energy of the fossil fuel industry? And, shouldn’t automatically be more importantly: Even if a firm perceived as a form of climate or shifts their representation from environmental justice. Although fossil fuel work to renewable energy renewable energy will be an work, is this renewable energy work essential piece of a just transition, compatible with a just transition or renewable energy projects must observe standards of equity and is it replicating the harmful and justice, resisting displacement of extractive practices of the fossil fuel already over-polluted communities industry? and respecting human rights. The very nature of this student-led LSCA’s stance on environmental and student-run movement is to equity wholeheartedly follows the provide intentionality and bring a Principles of Environmental Justice, critical lens as we collectively hold introduced at the People of Color the legal profession accountable. Environmental Leadership Summit Moving towards accountability of 1991. [25] Among its 17 tenets, we means that our movement must honor the notion that environmental self-reflect and strive to deepen our justice “demands the right to understanding of what participate as equal partners at environmental justice looks like. every level of decision-making, LSCA’s first-ever scorecard rewarded including needs assessment, firms for their engagement in planning, implementation, renewable energy work, across the enforcement and evaluation.” [26] In categories of transactional, honoring this principle, we must lobbying, or litigation work. But in then honor the uncomfortable truth doing so, the scorecard’s analysis that environmental injustice is not established a binary that was not exclusive to the fossil fuel industry, always justice-oriented or equity- and it is important to acknowledge driven: the binary system created a that in holding the fossil fuel presumption that a firm’s work on industry accountable, firms who renewable energy representation represent the renewable energy was de facto a form of climate industry are not shielded from accountability. However, this criticism, nor those who defend assumption is not based in the other destructive industries. tenets of environmental justice.
15 ENVIRONMENTAL JUSTICE TAKING THE LEAD CASE HIGHLIGHT BACKCOUNTRY AGAINST DUMPS V. U.S. BUREAU OF INDIAN AFFAIRS A lawsuit filed in the federal district court asserted that the U.S. Bureau of Indian Affairs failed to fully address harms to the Campo Band of Diegueño Mission Indians and the surrounding community when it authorized construction and operation of renewable energy generation facilities, including 60 wind turbines. The complaint alleged violations of a number of environmental protections including the National Environmental Policy Act. The allegation included that the analysis of the facility ahead of construction “paints a rosy picture” of global warming impacts but that it failed to calculate the project’s entire life cycle greenhouse gas emissions. Cumulative effects of construction projects such as these are often not taken into account for high-health risk communities, furthering environmental injustices. In this case these harms were perpetuated by renewable energy companies as well.
2021 LAW FIRM CLIMATE CHANGE SCORECARD 16 METHODOLOGY SECTION III: METHODOLOGY The methodology for this scorecard Analysis: Last year’s analysis applies the metrics used in the distinguished between 2020 scorecard and supplements representation of clients that them with frameworks of racial exacerbated climate change or equity and environmental justice. mitigated climate change. This Our quantitative analysis and binary scale depended on whether scoring system aims to accurately the firm’s position in the litigation portray the role of Vault 100 law was judged to advance or oppose firms in the climate crisis. climate action. For example, defending a fossil fuel company in a The quantitative dataset was lawsuit brought by a state for compiled, stored and processed damages caused by climate change using Google Sheets. The 2021 Vault was considered to be exacerbating 100 firms were identified on climate change. Mitigating climate Vault.com and changes in ranking change included representation of since 2020 were assessed. This year renewable energy companies or pro we have incorporated a racial and bono representation of renewable environmental justice lens into our energy companies or pro bono litigation analysis and added representation of environmental human rights analysis into our groups. This year, we expanded upon evaluation of firms’ engagement this metric to include a racial equity with clients. All data was verified by and environmental justice lens to multiple reviewers. begin to reflect the principles of a just transition. While the scale for I. Data and Scoring by Category data review remained a binary, critical engagement around the Litigation Data [31] Principles of Environmental Justice, UN guidelines, and EPA guidance Database & Collection: We used [32] allowed for a renewed analysis Climatecasechart.com, a publicly- of the cases situated within a just available climate change litigation transition framework. database compiled by the Sabin Center for Climate Change Law at Scoring: Scoring was based upon the Columbia Law School and Arnold & exacerbation of climate change. A Porter. The site includes cases in law firm received one point towards which climate change is a material its score every time that all three issue of law or fact. The docket conditions were met: first, the firm numbers, status year, litigation was involved in a case listed on location, firms who participated in climatecasechart.com; second, the the case, and subject of the suit firm was involved in the case were noted in Google Sheets. between 2016 and 2020; and third, the firm’s involvement in the case was judged to exacerbate climate change.
2021 LAW FIRM CLIMATE CHANGE SCORECARD 17 METHODOLOGY While we recognize that litigation Scoring: Scoring was based upon the mitigating climate change is amount of money that firms received as commendable, it does not cancel out the compensation from fossil fuel companies impacts of litigation that exacerbates and associations representing fossil fuel climate change. Mitigating cases counted companies. While we recognize that towards a firm’s A score, but the firm was lobbying on behalf of renewable energy only eligible for an A if it did not litigate industries can advance climate action, it cases that exacerbated climate change. does not cancel out the harmful effects of lobbying on behalf of fossil fuel and other Lobbying Data extractive companies. Renewable energy industry lobbying counted towards a firm’s Database & Collection: The Center for A score, but the firm was only eligible for Responsive Politics’ online database, an A if it did not lobby for fossil fuel clients. OpenSecrets.org, compiles data from mandatory lobbying disclosure reports filed with the Senate’s Office of Public Transactional Data Records. These records only include federal lobbying. It lists all clients that each firm Database & Collection: The IJGlobal Project maintained each year and the amount of Finance and Infrastructure Transaction money the client paid the firm that year. database contains over 32,000 The dollar figures displayed in the transactions. The database contains a database reflect the amount of money the variety of different types of transactions law firm received in compensation for across a range of categories: additional lobbying on a client’s behalf. facility construction, asset acquisition, company acquisition, design-build, Analysis: We analyzed every Vault 100 firm portfolio financing, primary financing, appearing on OpenSecrets.org with privatization, refinancing, and lobbying activity in 2020. Lobbying for securitization. IJGlobal provides the total fossil fuel companies and associations dollar value of these transactions but it representing fossil fuel companies was does not provide the amount of money judged to exacerbate climate change. that each law firm received in Fossil fuel companies are those who compensation for their work on promote the reliance on oil, gas, and coal. transactional projects. Due to the We also recorded lobbying for renewable proprietary nature of IJGlobal data and to energy companies and associations comply with the terms and conditions, we representing renewable energy companies. were only able to publish aggregate Additional contextual analysis of amounts of transactional work for law companies was sought from firms in energy categories. The data can be https://www.business-humanrights.org/en/ purchased via license from IJGlobal. which in some instances indicated environmental injustices at the Analysis: We divided transactions in the intersection of human rights. Although our database into two categories: fossil fuel dataset provides information on which and renewable energy transactions. Fossil companies employed Vault 100 firms as fuel transactions include any transactions lobbyists, it does not include information in the IJGlobal database where “oil and about the precise laws and regulations a gas” is listed as the transaction sector or law firm lobbied for or against. The “gas-fired,” “oil-fired,” or “coal-fired” is listed database included an amount category of as one of the primary transaction sub-
2021 LAW FIRM CLIMATE CHANGE SCORECARD 18 METHODOLOGY We also included coal energy transactions, those contributions to greenhouse mining transactions in the transactions involving gas emissions and climate fossil fuel category. Some of biofuels or biomass in change. the transactions in the fossil conjunction with one or fuel category have minor more other sources of Scoring: Law firms’ renewable energy renewable energy (i.e. wind, transactional scores are components, for example, solar, or small hydroelectric based on the total dollar acquisition of a company power). We do not count value of the fossil fuel with largely fossil fuel transactions listed as power transactions they supported holdings but some co-generation as either from 2016 to 2020. If renewable energy holdings. renewable or fossil fuel multiple firms were listed on Renewable energy because we do not have a particular transaction, the transactions included the information on whether the amount counted towards following sources: large co-generation derives from each firm’s transactional hydroelectric, small combustion of fossil fuels or score was the total dollar hydroelectric, geothermal renewable energy co- value of the transaction energy, photovoltaic solar, generation. Transactions divided by the number of off-shore wind, on-shore from global locations were firms listed on the wind, thermal solar, and included as US-based transaction. Renewable waste-to-energy plants. We lawyers often arrange energy work was factored recognize that biofuels and financing for these projects into an A score, provided biomass are not universally and advise on the legal risks that the firm conducted no sustainable. Thus, for resulting in enormous global fossil fuel work. renewable YROGETAC YB SEDARG ROF AIRETIRC :3 ELBAT LITIGATION TRANSACTIONS LOBBYING Cases active 2016-2020 Sum of transaction value 2016- Sum of lobbying compensation 2020 for firms 2016-2020 No cases exacerbating climate No transactional work for the No lobbying for the fossil fuel change, at least one case fossil fuel industry & some industry & some lobbying for the A mitigating climate change. transactional work for the renewable energy industry. renewable energy industry. No cases mitigating or No transactional work for the No lobbying work for the fossil B* exacerbating climate change. fossil fuel or renewable energy fuel or renewable energy industries. industries. Greater than $0 and below $1 Greater than $0 and below 1-2 cases exacerbating climate C change. billion transactional work for the $100,000 lobbying for the fossil fossil fuel industry. fuel industry. 3-7 cases exacerbating climate $1 billion to $20 billion $100,000 to $2 million lobbying D change. transactional work for the fossil for the fossil fuel industry. fuel industry. 8+ cases exacerbating climate $20 billion+ transactional work $2 million+ lobbying for the fossil F change. for the fossil fuel industry. fuel industry. *Firms can move up a grade if we do not have data showing they exacerbate or mitigate climate change, or their renewable energy work or litigation mitigating climate change exceed their fossil fuel work or litigation exacerbating climate change, AND the firm has taken our Law Firm Climate Responsibility Pledge.
2021 LAW FIRM CLIMATE CHANGE SCORECARD 19 METHODOLOGY Climate Scores Our scoring system does not average firms’ litigation, transactions, and lobbying scores. Firms’ overall Climate Scores derive from their Many law firms specialize in certain litigation, transactional, and lobbying scores. practice areas. Therefore, a firm may If a firm has a C, D, or F in any category, their conduct much less fossil fuel work in Climate Score is equal to their lowest grade certain categories solely because the firm in any category. If a firm has a B in all three does little work of any type in that category, categories, their Climate Score is a B. If a firm and averaging all three categories may has an A in at least one category and has no produce misleading results. Although this lower than a B in any category, meaning that system may seem harsh on firms, our the firm conducted some work mitigating scoring system is also forgiving to firms in climate change and no work judged to several respects. The threshold for F grades exacerbate climate change, the firm receives is set at a high level so that only firms that an A. conduct large amounts of fossil fuel work relative to their peers--and enormous This scoring system is meant to reflect the amounts of damage to the climate--receive principles of climate justice and a just F grades. transition. Although last year’s scoring system allowed firms to offset work exacerbating Second, firms can improve their score by climate change with work mitigating climate signing our Law Firm Climate Responsibility change, this year’s scorecard does not use Pledge. And third, because our scoring this “net” score because beneficial work does system using fixed thresholds rather than not cancel out the destructive effects of fossil calculating scores based on firms' relative fuel work. And because Vault 100 firms do far ranks, improvements in the industry as a more fossil fuel work than renewable energy whole would lead to a better range of firm work or litigation mitigating climate change, scores in future iterations of the report. the scoring change affected relatively few firms’ scores. CLIMATE SCORE CRITERIA EROCS ETAMILC ROF AIRETIRC :4 ELBAT To receive an A+, a firm must sign the Law Firm Climate Responsibility A+ Pledge to stop taking on new fossil fuel industry work, continue to take on renewable energy industry work and litigation to fight climate change, and to completely phase out fossil fuel work by 2025. [60] Firm meets the criteria for an A grade in at least one of the three categories and has no lobbying nor transactional work on behalf of the A fossil fuel industry and no cases exacerbating climate change. B Lowest grade in any category is a B. Lowest grade in any category is a C. C D Lowest grade in any category is a D. F Lowest grade in any category is an F.
2021 LAW FIRM CLIMATE CHANGE SCORECARD 20 RESULTS SECTION IV: RESULTS Our data sheds light on both the KEY TAKEAWAYS collective and individual performance of Vault 100 firms. This year’s scorecard covers data from 2016 to 2020 while last year’s scorecard covered data from 2015 Vault 100 firms increased the to 2019. On the whole, Vault 100 firms amount of litigation and are increasing the amount of fossil fuel work they conduct. As compared to last transactional work exacerbating year’s scorecard, Vault 100 firms climate change that they increased their fossil fuel transactional performed. work and increased their litigation work exacerbating climate change. This increase in fossil fuel work in 2020 is Some Vault 100 law firms conduct especially striking given the context of significantly more fossil fuel the COVID-19 pandemic: even though work than others . much of the economy slowed and courts operated more slowly, Vault 100 firms still managed to increase the TABLE 5: NUMBER OF VAULT 100 amount of fossil fuel work they FIRMS WITH EACH CLIMATE SCORE conducted. As compared to last year’s scorecard, Vault 100 firms decreased the CLIMATE SCORE NUMBER OF amount of fossil fuel lobbying they FIRMS conducted, increased the amount of A renewable energy lobbying they 3 conducted, and increased the amount of renewable energy transactions they supported. Vault 100 firms slightly B 9 decreased the amount of litigation mitigating climate change that they conducted. C 18 From 2016-2020, in total, Vault 100 firms performed 358 representations of clients D in litigation exacerbating climate 34 change and 25 representations of clients in litigation mitigating climate change. They supported fossil fuel transactions F 36 with a total value of $1.36 trillion and renewable energy transactions with a total value of $347 billion. Vault 100 firms received $34.9 million in compensation for fossil fuel lobbying and received $8.3 million in compensation for renewable energy lobbying.
2021 LAW FIRM CLIMATE CHANGE SCORECARD # 21 RESULTS However, Vault 100 firms’ roles in the climate crisis differ extensively. For example, Akin Gump conducted more fossil fuel lobbying than 91 firms combined, Allen & Overy supported more fossil fuel transactions than 75 firms combined, and Paul Weiss performed as much fossil fuel litigation as 60 firms combined. 3 of the 100 firms scored in this report received an overall Climate Score of A, 9 firms received a B, 18 firms received a C, 34 firms received a D, and 36 firms received an F. Each data point collected in this report represents human consequences that people will face as a result of the climate crisis. Firms’ fossil fuel litigation, transactions, and lobbying lead to increased emissions that affect everyone but disproportionately cause harm to the Global South, predominantly Black, Indigenous, people of color (BIPOC) communities, and low-income communities. In addition to its contribution to climate change, fossil fuel work often involves direct human rights violations and environmental injustice. STUDENT TESTIMONIAL "I'VE USED THE SCORECARD TO NOT ONLY AVOID "F" FIRMS, BUT ALSO GAIN A MORE HOLISTIC UNDERSTANDING OF ALL FIRMS' FOSSIL FUEL COMMITMENTS. FOR EXAMPLE, WHEN LOOKING AT FIRMS FOR FUTURE EMPLOYMENT, THE SCORECARD HELPED ME CONTEXTUALIZE A GIVEN FIRM'S RENEWABLES PRACTICE GROUPS AS PART OF A LARGER BOOK OF BUSINESS, WHICH OFTEN STEERED DIRECTLY TOWARD OIL AND GAS OR MINING COMPANIES. THE SCORECARD HAS REVEALED THAT MANY FIRMS' HIGHLY- ADVERTISED ESG AND RENEWABLES PRACTICES DWARF IN COMPARISON TO THEIR BUSINESS WITH OIL-AND-GAS AND OTHER FOSSIL FUEL INDUSTRIES. NOW MORE THAN EVER, FIRMS ARE REALIZING THAT THEIR GREATEST ASSET—LAW STUDENTS AND YOUNG ATTORNEYS—GENUINELY CARE ABOUT CLIMATE CHANGE AND EXPECT THEIR EMPLOYERS TO LEAD IN A CONSCIOUS DIRECTION." -DEVIN OLIVER, 3L AT BERKELEY LAW SCHOOL
2021 LAW FIRM CLIMATE CHANGE SCORECARD 22 RESULTS TABLE 6: NUMBER OF VAULT 100 FIRMS WITH EACH GRADE BY CATEGORY GRADE BY LITIGATION TRANSACTIONS LOBBYING CATEGORY A 2 11 1 B 37 24 68 C 22 17 6 D 20 30 21 F 19 18 4 Top 5 Worst Firms for Litigation Cases exacerbating climate change, 2016-2020 1. Paul Weiss: 30 cases (8x the average) 2. Gibson Dunn: 23 cases 3. Latham & Watkins: 19 cases 4. Sidley Austin: 15 cases 5. Baker Botts: 15 cases
2021 LAW FIRM CLIMATE CHANGE SCORECARD 23 RESULTS Top 5 Worst Firms for Transactions Transactional work for fossil fuel industry, 2016-2020 1. Allen & Overy: $125,676,000,000 (9x the average) 2. Clifford Chance: $124,359,000,000 3. Latham & Watkins: $118,635,000,000 4. Vinson & Elkins: $107,053,000,000 5. White & Case: $90,781,000,000 Top 5 Worst Firms for Lobbying Compensation from lobbying for fossil fuel industry, 2016-2020 1. Akin Gump: $6,780,000 (19x the average) 2. Hogan Lovells: $5,325,000 3. Squire Patton Boggs: $5,200,000 4. Steptoe & Johnson: $3,000,000 5. McGuire Woods: $1,950,000
2021 LAW FIRM CLIMATE CHANGE SCORECARD 24 RESULTS TABLE 6 Changes in Law Firm Climate Scores Firm Name 2020 Score 2021 Score Cooley B A Boies Schiller C B Cozen O'Connor A C Sheppard Mullin A C Davis Wright B C Goodwin Procter B C Winston & Strawn B D Arent Fox B D Duane Morris C D Nixon Peabody C D Quinn Emmanuel C D Arnold & Porter D F Crowell & Moring D F K&L Gates D F Kellogg Hansen D F Mayer Brown D F Morgan Lewis D F Norton Rose D F Orrick D F Steptoe & Johnson D F Susman Godfrey D F
2021 LAW FIRM CLIMATE CHANGE SCORECARD 25 LIMITATIONS SECTION V: LIMITATIONS This scorecard provides a more However, some beneficial work that law representative picture of top-ranked law firms perform may not be captured in this firms’ roles in the climate crisis than would report. For example, we lack data on the otherwise be available. Its conclusions are extent and quality of law firms’ ESG work, based on rigorous analysis of tens of and therefore this work is not included in thousands of data points. However, we this scorecard. fully acknowledge that the report has limitations. Third, we have insufficient data to perform a full analysis of how law firms' work First, law firms’ work intersects with a wide contributes to climate justice and racial range of important issues in addition to equity. We use a binary system between the fossil fuel industry and climate work exacerbating climate change and change. A law firm may receive a good work mitigating climate change. Although score on this scorecard but perform this binary enables a practical scoring harmful work with respect to labor rights system for law firms, it does not offer or immigrant justice. Whether firms nuanced distinctions within the categories encourage gender and racial equity in of mitigating and exacerbating climate their hiring and promotion practices is change. In particular, some renewable also not reflected in this scorecard. We energy work depends on human rights encourage readers of this report to abuses and neocolonial economic investigate law firms’ records on a wide relations. The databases we utilized only range of issues, not only those that we provide enough information to determine were not able to cover in this report. whether law firms supported renewable energy work. We cannot definitively Second, our databases are not entirely determine whether this work also involved comprehensive. As a result, Vault 100 law harmful practices or fully complied with a firms are likely performing even more just transition framework. harmful work than this scorecard reflects.
2021 LAW FIRM CLIMATE CHANGE SCORECARD 26 LIMITATIONS Fourth, our analysis is limited to existing infrastructure. Further, we Vault 100 firms. Many other law are only able to quantify firms’ firms, both major corporate firms involvement in transactions based and smaller firms, contribute to on the total dollar value of the climate and environmental injustice transactions. This total value may but are not included in this not directly correlate to the extent or scorecard. The absence of a law firm importance of law firms’ work on the from this scorecard should not lead project, and their compensation for to the assumption that the law firm’s the project is only a fraction of the work aligns with climate justice. project’s total value. When multiple There are also many law firms not firms are listed on a transaction, the within the Vault 100 that support database does not provide work to achieve a just transition and information on the relative amounts climate accountability, such as of work each firm conducted on the plaintiff-side law firms that bring project. Therefore, the amount lawsuits against major polluters. Law credited to each firm’s score equals students and potential law firm the project’s total value divided by clients should not limit their law firm the number of firms listed on the search to Vault 100 firms. Nine law transaction, although some firms firms have signed our Law Firm may have contributed more work to Climate Responsibility Pledge, and the project than others. these firms can be found at the end of this report. Last, our lobbying data suffers from several data limitations. First, our Each category of data also has database only includes federal limitations. For reasons of lobbying, so similarly harmful practicality and fairness, our lobbying conducted at the state litigation analysis counts each case level is not included in our analysis. as one point towards a firm’s score. Second, although the database This system does not account for the shows the amount of compensation fact that some cases are more clients paid law firms for their significant or more destructive than lobbying work, there is relatively others, or that firms may have played little information on what policy smaller roles in some cases than priorities law firms advanced for others. Further, the Sabin Center their clients. Any lobbying for fossil database on which we rely only fuel companies advances fossil fuel includes litigation in which climate dependence and climate injustice, change is a material issue of law or and thus we count all lobbying for fact. Therefore, a significant number fossil fuel companies and of cases related to climate and associations representing fossil fuel environmental justice, such as many companies in our analysis. However, permitting cases, are not included in firms likely conduct climate-related this database. lobbying for clients in a number of other industries, but this lobbying is In addition, our analysis of not included in our database transactional data does not because we are unable to determine distinguish between fossil fuel whether the lobbying law firms transactions based on their relative conducted for these clients relates impacts on the climate. For example, to climate and environmental transactions constructing new fossil justice. fuel infrastructure are arguably more harmful than transactions related to
2021 LAW FIRM CLIMATE CHANGE SCORECARD 27 RECOMMENDATIONS & COMMITMENTS SECTION VI: RECOMMENDATIONS & COMMITMENTS RECOGNIZING THE LAW STUDENTS UNPRECEDENTED IMMENSITY OF THE CLIMATE CATASTROPHE, I PLEDGE TO We recognize that many students enter law school seeking to address the wrongs they DO ALL THAT I CAN TO have seen in their communities. As such, STIGMATIZE AND many of our peers in the legal academy may ULTIMATELY ELIMINATE THE indeed be from frontline and/or environmental justice communities, LEGAL INDUSTRY’S navigating both education within the field of COMPLICITY IN law and destructive impacts of the field PERPETUATING CLIMATE itself. In addition many law school applicants have been newly motivated by racial justice CHANGE. IF MY FINANCIAL and equity and seek to make their AND OTHER PERSONAL employment decisions accordingly. [33] CIRCUMSTANCES PERMIT, I We recognize and acknowledge that choice PLEDGE TO REFUSE TO is a privilege that we must wield responsibly. WORK FOR A LAW FIRM THAT In addressing the commitments and REPRESENTS FOSSIL FUEL recommendations students can make, we invite those whose privilege of choice can INDUSTRY CLIENTS. IF MY open the opportunities for a broader FINANCIAL AND OTHER conversation around climate accountability PERSONAL CIRCUMSTANCES and environmental justice to use it. DO NOT YET PERMIT ME TO Each law student has unique personal and MAKE SUCH A REFUSAL, I financial circumstances that affect what PLEDGE TO DO ALL THAT I actions they can take. Nevertheless, every student can take action to hold the legal CAN TO HOLD MY FIRM industry accountable for exacerbating ACCOUNTABLE FOR ITS ROLE climate change. Since the release of the IN PERPETUATING CLIMATE 2020 scorecard, over 500 law students across the country have joined the call for climate CHANGE, TO PUSH IT TO accountability, and many students have DISCONTINUE ITS FOSSIL taken specific actions to show law firms that FUEL REPRESENTATION, AND they are concerned about their fossil fuel work. TO FIGHT FOR JUSTICE THROUGH A SUBSTANTIAL PRO BONO PRACTICE.
2021 LAW FIRM CLIMATE CHANGE SCORECARD 28 RECOMMENDATIONS & COMMITMENTS The following actions (all of which have If the student takes an internship or job been taken this past year by fellow law at a law firm, inquire about the firm’s students) are encouraged: climate change commitments and advocate for the firm to take stronger Take the Law Student Climate Pledge. action to reduce its role in the climate Share this report within the student’s crisis. law school community and start If possible given personal circumstances, conversations with peers about the role reconsider working for a law firm who of the legal industry in the climate scores a D or an F (or a B or a C). crisis. If possible given personal circumstances, Ask questions during law firm join a nationwide campaign and pledge recruitment events and interviews. For not to work at a particular firm given its example, “I understand that your firm extensive work supporting fossil fuel has taken steps, such as energy companies and harming frontline efficiency and recycling programs, to communities. Examples include improve the sustainability of your office. #DropExxon (Paul Weiss) and How has your firm extended this #DonewithDunn (Gibson Dunn). commitment to sustainability to your If possible given personal circumstances, decisions about representing clients pledge to not work at any firm that from the fossil fuel industry?” represents the fossil fuel industry. Ask about climate change at law firm events “I UNDERSTAND THAT YOUR FIRM HAS TAKEN STEPS, SUCH AS ENERGY EFFICIENCY AND RECYCLING PROGRAMS, TO IMPROVE THE SUSTAINABILITY OF YOUR OFFICE. HOW HAS YOUR FIRM EXTENDED THIS COMMITMENT TO SUSTAINABILITY TO YOUR DECISIONS ABOUT REPRESENTING CLIENTS FROM THE FOSSIL FUEL INDUSTRY?” Recommendations for clients of law firms Clients of law firms wield enormous power: their choice of representation directly impacts law firms’ bottom lines. Many clients have their own commitments to climate justice and racial equity and they may question whether they should have the same lawyers as companies driving the climate crisis. This scorecard provides a resource for clients looking for law firms whose values align with their own. Invitation to frontline community, organizations and activists Law Students for Climate Accountability commits to continue to engage with frontline community, organizations and activists who seek environmental justice. We also invite frontline community, organizations and activists to engage in our analysis and continued campaigns.
2021 LAW FIRM CLIMATE CHANGE SCORECARD 29 RECOMMENDATIONS & COMMITMENTS LAW FIRMS Law firms can play an extremely important role in addressing the climate crisis and achieving a just transition. However, law firms too frequently consider themselves neutral actors. This view is inaccurate. Law firms consciously choose how to deploy their limited resources, and they should not provide their legal services in support of fossil fuel work and other climate injustice. Although pro bono work, in-office sustainability, ESG counsel, and renewable energy work are all welcome, these actions are insufficient as long as law firms continue to advance fossil fuel dependence and climate inaction. Law Firm Climate Responsibility Pledge "WE, AT THE UNDERSIGNED LAW FIRM, PLEDGE TO NOT TAKE ON WORK TO SUPPORT THE FOSSIL FUEL INDUSTRY, NOW AND INTO THE FUTURE.* WE FURTHER PLEDGE TO TAKE ON SOME WORK OR CONTINUE TO WORK IN AT LEAST ONE OF THE FOLLOWING AREAS: TO SUPPORT RENEWABLE ENERGY DEVELOPMENT, TO ADDRESS CLIMATE CHANGE, AND TO ADVANCE CLIMATE JUSTICE." *EFFECTIVE IMMEDIATELY, ALL FIRMS SIGNING THE PLEDGE WILL NOT TAKE ON ANY NEW WORK TO SUPPORT THE FOSSIL FUEL INDUSTRY. ANY FIRMS SIGNING THE PLEDGE THAT CURRENTLY WORK TO SUPPORT THE FOSSIL FUEL INDUSTRY WILL PHASE OUT THIS WORK BY 2025, AT THE LATEST. Signatories to the Law Firm Climate Responsibility Pledge These firms have demonstrated impressive climate leadership. All law firms are encouraged to sign the pledge and can do so at www.ls4ca.org. The nine firms that have signed the pledge as of August 2021 are as follows: Bricklin & Newman LLP Kanji & Katzen PLLC Earthjustice Sher Edling LLP Green Economy Law Shute, Mihaly & Professional Corporation Weinberger LLP Goldblatt & Singer Strumwasser & Woocher Gupta Wessler PLLC LLP
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