BETA

69 Amendments of Markus FERBER related to 2022/0051(COD)

Proposal for a directive
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The Committee on Economic and Monetary Affairs calls on the Committee on Legal Affairs, as the committee responsible, to propose rejection of the Commission proposal for a Directive on Corporate Sustainability Due Diligence and amending Directive (EU) 2019/1937.

2022/10/27
Committee: ECON

Proposal for a directive
Recital 19 a (new)

(19 a) In order to avoid undue burden, excessive compliance costs and regulatory uncertainty, activities already covered under existing legislation such CSRD and SFDR shall not be governed by this Directive.

2022/10/27
Committee: ECON

Proposal for a directive
Recital 21

(21) Under this Directive, EU companies with more than 500 employees on average and a worldwide net turnover exceeding EUR 150 million in the financial year preceding the last financial year should be required to comply with due diligence. As regards companies which do not fulfil those criteria, but which had more than 250 employees on average and more than EUR 40 million worldwide net turnover in the financial year preceding the last financial year and which operate in one or more high-impact sectors, due diligence should apply 2 years after the end of the transposition period of this directive, in order to provide for a longer adaptation period. In order to ensure a proportionate burden, companies operating in such high-impact sectors should be required to comply with more targeted due diligence focusing on severe adverse impacts. Temporary agency workers, including those posted under Article 1(3), point (c), of Directive 96/71/EC, as amended by Directive 2018/957/EU of the European Parliament and of the Council103 , should be included in the calculation of the number of employees in the user company. Posted workers under Article 1(3), points (a) and (b), of Directive 96/71/EC, as amended by Directive 2018/957/EU, should only be included in the calculation of the number of employees of the sending company0 employees on average in the financial year preceding the last financial year should be required to comply with due diligence. __________________ 103 Directive (EU) 2018/957 of the European Parliament and of the Council of 28 June 2018 amending Directive 96/71/EC concerning the posting of workers in the framework of the provision of services (OJ L 173, 9.7.2018, p. 16).

2022/10/27
Committee: ECON

Proposal for a directive
Recital 56

(56) In order to ensure effective compensation of victims of adverse impacts, Member States should be required to lay down rules governing the civil liability of companies for damages arising due to its failure to comply with the due diligence process. The company should be liable for damages if they failed to comply with the obligations to prevent and mitigate potential adverse impacts or to bring actual impacts to an end and minimise their extent, and as a result of this failure an adverse impact that should have been identified, prevented, mitigated, brought to an end or its extent minimised through the appropriate measures occurred and led to damage.deleted

2022/10/27
Committee: ECON

Proposal for a directive
Recital 57

(57) As regards damages occurring at the level of established indirect business relationships, the liability of the company should be subject to specific conditions. The company should not be liable if it carried out specific due diligence measures. However, it should not be exonerated from liability through implementing such measures in case it was unreasonable to expect that the action actually taken, including as regards verifying compliance, would be adequate to prevent, mitigate, bring to an end or minimise the adverse impact. In addition, in the assessment of the existence and extent of liability, due account is to be taken of the company’s efforts, insofar as they relate directly to the damage in question, to comply with any remedial action required of them by a supervisory authority, any investments made and any targeted support provided as well as any collaboration with other entities to address adverse impacts in its value chains.deleted

2022/10/27
Committee: ECON

Proposal for a directive
Recital 58

~~(58) The liability regime does not regulate who should prove that the company’s action was reasonably adequate under the circumstances of the case, therefore this question is left to national law.~~deleted

2022/10/27
Committee: ECON

Proposal for a directive
Recital 59

(59) As regards civil liability rules, the civil liability of a company for damages arising due to its failure to carry out adequate due diligence should be without prejudice to civil liability of its subsidiaries or the respective civil liability of direct and indirect business partners in the value chain. Also, the civil liability rules under this Directive should be without prejudice to Union or national rules on civil liability related to adverse human rights impacts or to adverse environmental impacts that provide for liability in situations not covered by or providing for stricter liability than this Directive.deleted

2022/10/27
Committee: ECON

Proposal for a directive
Recital 60

~~(60) As regards civil liability arising from adverse environmental impacts, persons who suffer damage can claim compensation under this Directive even where they overlap with human rights claims.~~deleted

2022/10/27
Committee: ECON

Proposal for a directive
Recital 61

(61) In order to ensure that victims of human rights and environmental harms can bring an action for damages and claim compensation for damages arising due to a company’s failure to comply with the due diligence obligations stemming from this Directive, even where the law applicable to such claims is not the law of a Member State, as could be for instance be the case in accordance with international private law rules when the damage occurs in a third country, this Directive should require Member States to ensure that the liability provided for in provisions of national law transposing this Article is of overriding mandatory application in cases where the law applicable to claims to that effect is not the law of a Member State.deleted

2022/10/27
Committee: ECON

Proposal for a directive
Recital 62

(62) The civil liability regime under this Directive should be without prejudice to the Environmental Liability Directive 2004/35/EC. This Directive should not prevent Member States from imposing further, more stringent obligations on companies or from otherwise taking further measures having the same objectives as that Directive.deleted

2022/10/27
Committee: ECON

Proposal for a directive
Article 1 – paragraph 1 – subparagraph 1 – point a

(a) on obligations for companies regarding actual and potential human rights adverse impacts and environmental adverse impacts, with respect to their own operations, and the operations of their subsidiaries~~, and the value chain operations carried out by entities with whom the company has an established business relationship and~~.

2022/10/27
Committee: ECON

Proposal for a directive
Article 1 – paragraph 1 – subparagraph 1 – point b

~~(b) on liability for violations of the obligations mentioned above.~~deleted

2022/10/27
Committee: ECON

Proposal for a directive
Article 1 – paragraph 1 – subparagraph 2

~~The nature of business relationships as ‘established’ shall be reassessed periodically, and at least every 12 months.~~deleted

2022/10/27
Committee: ECON

Proposal for a directive
Article 2 – paragraph 1 – introductory part

1. This Directive shall apply to companies ~~which are formed in accordance with the legislation of a Member State and which fulfil one of the following condit~~that had more than 5000 employees on average in the last financial year for which annual financial statements have been prepared and that are incorporated in one of the Member States of the European Unions:.

2022/10/27
Committee: ECON

Proposal for a directive
Article 2 – paragraph 1 – point a

~~(a) the company had more than 500 employees on average and had a net worldwide turnover of more than EUR 150 million in the last financial year for which annual financial statements have been prepar~~deleted;

2022/10/27
Committee: ECON

Proposal for a directive
Article 2 – paragraph 1 – point b

(b) the company did not reach the thresholds under point (a), but had more than 250 employees on average and had a net worldwide turnover of more than EUR 40 million in the last financial year for which annual financial statements have been prepared, provided that at least 50% of this net turnover was generated in one or more of the following sectors: (i) and related products (including footwear), and the wholesale trade of textiles, clothing and footwear; (ii) (including aquaculture), the manufacture of food products, and the wholesale trade of agricultural raw materials, live animals, wood, food, and beverages; (iii) regardless from where they are extracted (including crude petroleum, natural gas, coal, lignite, metals and metal ores, as well as all other, non-metallic minerals and quarry products), the manufacture of basic metal products, other non-metallic mineral products and fabricated metal products (except machinery and equipment), and the wholesale trade of mineral resources, basic and intermediate mineral products (including metals and metal ores, construction materials, fuels, chemicals and other intermediate products).deleted the manufacture of textiles, leather agriculture, forestry, fisheries the extraction of mineral resources

2022/10/27
Committee: ECON

Proposal for a directive
Article 2 – paragraph 2

2. This Directive shall also apply to companies which are formed in accordance with the legislation of a third country, and fulfil one of the following conditions: (a) generated a net turnover of more than EUR 150 million in the Union in the financial year preceding the last financial year; (b) than EUR 40 million but not more than EUR 150 million in the Union in the financial year preceding the last financial year, provided that at least 50% of its net worldwide turnover was generated in one or more of the sectors listed in paragraph 1, point (b).deleted generated a net turnover of more

2022/10/27
Committee: ECON

Proposal for a directive
Article 3 – paragraph 1 – point a – point iv – indent 9

~~— an alternative investment fund (AIF) managed by an AIFM as defined in Article 4(1), point (b), of Directive 2011/61/EU or an AIF supervised under the applicable national law;~~deleted

2022/10/27
Committee: ECON

Proposal for a directive
Article 3 – paragraph 1 – point a – point iv – indent 10

~~— UCITS in the meaning of Article 1(2) of Directive 2009/65/EC;~~deleted

2022/10/27
Committee: ECON

Proposal for a directive
Article 3 – paragraph 1 – point a – point iv – indent 11

— a central counterparty as defined in Article 2, point (1), of Regulation (EU) No 648/2012 of the European Parliament and of the Council121 ; __________________ 121 Regulation (EU) No 648/2012 of the European Parliament and of the Council of 4 July 2012 on OTC derivatives, central counterparties and trade repositories (OJ L 201, 27.7.2012, p. 1).deleted

2022/10/27
Committee: ECON

Proposal for a directive
Article 3 – paragraph 1 – point a – point iv – indent 12

— a central securities depository as defined in Article 2(1), point (1), of Regulation (EU) No 909/2014 of the European Parliament and of the Council122 ; __________________ 122 Regulation (EU) No 909/2014 of the European Parliament and of the Council of 23 July 2014 on improving securities settlement in the European Union and on central securities depositories and amending Directives 98/26/EC and 2014/65/EU and Regulation (EU) No 236/2012 (OJ L 257, 28.8.2014, p. 1).deleted

2022/10/27
Committee: ECON

Proposal for a directive
Article 3 – paragraph 1 – point b

(b) ‘adverse environmental impact’ means an adverse impact on the environment resulting from the violation of one of the pr~~ohibitions and obligations pursuant to the international environmental conventions listed in the Annex, Part II;~~inciples set out in the OECD Due Diligence Guidance for Responsible Business Conduct as regards the environment.

2022/10/27
Committee: ECON

Proposal for a directive
Article 3 – paragraph 1 – point c

(c) ‘adverse human rights impact’ means an adverse impact on protected persons ~~resulting from the violation of one of the rights or prohibitions listed in the Annex, Part I Section 1, as enshrined in the international conventions listed in the Annex, Part I Section 2;~~that may impair the full enjoyment of human rights resulting from the violation of one of the principles set out in the OECD Due Diligence Guidance for Responsible Business Conduct and the UN Guiding Principles on Business and Human Rights as regards human rights.

2022/10/27
Committee: ECON

Proposal for a directive
Article 3 – paragraph 1 – point f

(f) ‘~~established~~direct business relationship’ means a business relationship, w~~hether~~ith a direct ~~or indirect, which is, or which is expected to be lasting, in view of its intensity or duration and~~contractual relation for the supply of goods or the provision of services whose supplies are necessary for the production of the enterprise’s product or the provision and use of the relevant service. ‘indirect business relationship’ means a business relationship which ~~doe~~is not ~~represent a negligible or merely ancillary par~~a direct supplier and whose supplies are necessary for the production of the enterprise’s product ofr the ~~value chain~~provision and use of the relevant service;

2022/10/27
Committee: ECON

Proposal for a directive
Article 3 – paragraph 1 – point g

(g) ‘value chain’ means activities related to the production of goods or the provision of services by a company, including the development of the product or the service and the use and disposal of the product as well as the related activities of upstream ~~and downstream established~~direct business relationships of the company. As regards companies within the meaning of point (a)(iv), ‘value chain’ with respect to the provision of these specific services shall only include the activities of the clients receiving such loan, credit, and other financial services and of other companies belonging to the same group whose activities are linked to the contract in question. The value chain of such regulated financial undertakings does not cover SMEs receiving loan, credit, financing, insurance or reinsurance of such entities;

2022/10/27
Committee: ECON

Proposal for a directive
Article 3 – paragraph 1 – point g a (new)

(g a) value chain for a regulated financial undertaking with respect to the provision of specific banking services shall only include the activities of the first tier clients receiving banking services and of other companies belonging to the same group whose activities are directly linked to the contract in question. The definition of value chain shall not cover interbank loans and interbank activities. Clients that are households and natural persons not acting in a professional or business capacity, non- profit organizations, other regulated financial undertakings as well as small and medium sized undertakings, shall not be considered to be part of the value chain.

2022/10/27
Committee: ECON

Proposal for a directive
Article 3 – paragraph 1 – point k

(k) ‘authorised representative’ means a natural or legal person ~~resident or established in the Union~~ who has a mandate from a company within the meaning of point (a)(ii) to act on its behalf in relation to compliance with that company’s obligations pursuant to this Directive;

2022/10/27
Committee: ECON

Proposal for a directive
Article 3 – paragraph 1 – point n

(n) ‘stakeholders’ means the company’s employees, the employees of its subsidiaries, and other individuals, groups, communities or entities whose rights or interests are ~~or could be~~directly affected by the products, services and operations of that company, or its subsidiaries ~~and its business relationships;~~.

2022/10/27
Committee: ECON

Proposal for a directive
Article 4 – paragraph 1 – point c

(c) preventing ~~and~~or mitigating potential adverse impacts, and where possible bringing actual adverse impacts to an end ~~and~~or minimising their extent in accordance with Articles 7 and 8;

2022/10/27
Committee: ECON

Proposal for a directive
Article 4 – paragraph 1 – point d

(d) establishing and maintaining a ~~complaints~~notification procedure in accordance with Article 9;

2022/10/27
Committee: ECON

Proposal for a directive
Article 5 – paragraph 1 – point c

(c) a description of the processes put in place to implement due diligence, including the measures taken to verify compliance with the code of conduct ~~and to extend its application to established business relationships~~.

2022/10/27
Committee: ECON

Proposal for a directive
Article 5 – paragraph 2

2. Member States shall ensure that the companies update their due diligence policy ~~annually~~if substantial changes occur.

2022/10/27
Committee: ECON

Proposal for a directive
Article 6 – paragraph 1

1. Member States shall ensure that companies take appropriate and proportionate measures to identify actual ~~and potential~~ adverse human rights impacts and adverse environmental impacts arising from their own operations or those of their subsidiaries ~~and, where related to their value chains, from their established business relationships, in accordance with paragraph 2, 3 and 4~~.

2022/10/27
Committee: ECON

Proposal for a directive
Article 6 – paragraph 2

2. By way of derogation from paragraph 1, companies referred to in Article 2(1), point (b), and Article 2(2), point (b), shall only be required to identify actual and potential severe adverse impacts relevant to the respective sector mentioned in Article 2(1), point (b).deleted

2022/10/27
Committee: ECON

Proposal for a directive
Article 6 – paragraph 3

3. When companies referred to in Article 3, point (a)(iv), provide credit, loan or other financial services, identification of actual and potential adverse human rights impacts and adverse environmental impacts shall be carried out only before providing that service. This provision shall not apply retroactively.

2022/10/27
Committee: ECON

Proposal for a directive
Article 6 – paragraph 4

4. Member States shall ensure that, for the purposes of identifying the adverse impacts referred to in paragraph 1 based on, where appropriate, quantitative and qualitative information, companies are entitled to make use of appropriate resources, including independent reports and information gathered through the ~~complaints~~notification procedure provided for in Article 9. Companies shall, where relevant, also carry out consultations with potentially affected groups including workers and other relevant stakeholders to gather information on actual or potential adverse impacts.

2022/10/27
Committee: ECON

Proposal for a directive
Article 7 – paragraph 1

1. Member States shall ensure that companies take appropriate measures to prevent, or where prevention is not possible or not immediately possible, adequately mitigate potential adverse human rights impacts and adverse environmental impacts that have been~~, or should have been,~~ identified pursuant to Article 6, in accordance with paragraphs 2, 3, 4 and 5 of this Article.

2022/10/27
Committee: ECON

Proposal for a directive
Article 7 – paragraph 2 – point a

(a) where necessary due to the nature or complexity of the measures required for prevention, develop and implement a prevention action plan, with reasonable ~~and clearly defined~~ timelines for action and ~~qualitative and quantitative~~ indicators for measuring improvement. The prevention action plan shall be developed in consultation with affected stakeholders;, where relevant.

2022/10/27
Committee: ECON

Proposal for a directive
Article 7 – paragraph 2 – point b

(b) seek contractual assurances from a business partner with whom it has a direct business relationship that it will ensure compliance with the company’s code of conduct and, as necessary, a prevention action plan, including by seeking corresponding contractual assurances from its partners, to the extent that their activities are part of the company’s value chain (contractual cascading). When such contractual assurances are obtained, paragraph 4 shall apply;

2022/10/27
Committee: ECON

Proposal for a directive
Article 7 – paragraph 5 – subparagraph 1 – introductory part

As regards potential adverse impacts within the meaning of paragraph 1 that could not be prevented or adequately mitigated by the measures in paragraphs 2, 3 and 4, the company shall ~~be required~~consider to refrain from entering into new or extending existing relations with the partner in connection with or in the value chain of which the impact has arisen and shall, where the law governing their relations so entitles them to, ~~take~~consider the following actions, if they are deemed to meaningfully contribute to resolving the adverse impact:

2022/10/27
Committee: ECON

Proposal for a directive
Article 7 – paragraph 5 – subparagraph 1 – point b

(b) as a last resort, terminate the business relationship with respect to the activities concerned if the potential adverse impact is severe.

2022/10/27
Committee: ECON

Proposal for a directive
Article 8 – paragraph 1

1. Member States shall ensure that companies take appropriate measures to attempt to bring actual adverse impacts that have been~~, or should have been,~~ identified pursuant to Article 6 to an end, in accordance with paragraphs 2 to 6 of this Article.

2022/10/27
Committee: ECON

Proposal for a directive
Article 8 – paragraph 3 – point a

(a) neutralise the adverse impact or minimise its extent, including, where relevant and applicable, by the payment of damages to the affected persons and of financial compensation to the affected communities. The action shall be proportionate to the significance and scale of the adverse impact and to the contribution of the company’s conduct to the adverse impact;

2022/10/27
Committee: ECON

Proposal for a directive
Article 8 – paragraph 3 – point c

(c) if applicable, seek contractual assurances from a direct partner with whom it has a~~n established~~ direct business relationship that it will ensure compliance with the code of conduct and, as necessary, a corrective action plan~~, including by seeking corresponding contractual assurances from its partners, to the extent that they are part of the value chain (contractual cascading)~~. When such contractual assurances are obtained, paragraph 5 shall apply.

2022/10/27
Committee: ECON

Proposal for a directive
Article 8 – paragraph 3 – point e

(e) provide targeted and proportionate support for an SME with which the company has a~~n established~~ direct business relationship, where compliance with the code of conduct or the corrective action plan would jeopardise the viability of the SME;

2022/10/27
Committee: ECON

Proposal for a directive
Article 8 – paragraph 6 – subparagraph 1 – point b

(b) as a last resort and only if this is in the best interest of the relevant stakeholders, terminate the business relationship with respect to the activities concerned, if the adverse impact is considered severe.

2022/10/27
Committee: ECON

Proposal for a directive
Article 9 – title

~~Complaints~~Notification procedure

2022/10/27
Committee: ECON

Proposal for a directive
Article 9 – paragraph 1

1. Member States shall ensure that companies provide the possibility for persons and organisations listed in paragraph 2 to ~~submit complaints to~~notify them where they have legitimate concerns regarding actual or potential adverse human rights impacts and adverse environmental impacts with respect to their own operations, or the operations of their subsidiaries ~~and their value chain~~. This can be done in cooperation with industry schemes and multi-stakeholder initiatives.

2022/10/27
Committee: ECON

Proposal for a directive
Article 9 – paragraph 2 – introductory part

2. Member States shall ensure that the ~~complaints~~notification may be submitted by:

2022/10/27
Committee: ECON

Proposal for a directive
Article 9 – paragraph 2 – point c

~~(c) civil society organisations active in the areas related to the value chain concern~~deleted.

2022/10/27
Committee: ECON

Proposal for a directive
Article 9 – paragraph 3

3. Member States shall ensure that the companies establish a procedure for dealing with ~~complaints~~notification referred to in paragraph 1, including a procedure when the company considers the ~~complaint~~notification to be unfounded, and inform the relevant workers and trade unions of those procedures. Member States shall ensure that where the ~~complaint~~notification is well-founded, the adverse impact that is the subject matter of the complaint is deemed to be identified within the meaning of Article 6.

2022/10/27
Committee: ECON

Proposal for a directive
Article 10 – paragraph 1

Member States shall ensure that companies carry out periodic assessments of their own operations and measures, those of their subsidiaries and, where related to the value chains of the company, those of their established business relationships, to monitor the effectiveness of the identification, prevention, mitigation, bringing to an end and minimisation of the extent of human rights and environmental adverse impacts. Such assessments shall be based, where appropriate, on qualitative and quantitative indicators and be carried out at least every 124 months and whenever there are reasonable grounds to believe that significant new risks of the occurrence of those adverse impacts may arise. The due diligence policy shall be updated in accordance with the outcome of those assessments.

2022/10/27
Committee: ECON

Proposal for a directive
Article 11 – paragraph 1

Member States shall ensure that companies that are not subject to reporting requirements under Articles 19a and 29a of Directive 2013/34/EU report on the matters covered by this Directive by publishing on their website a~~n annual~~ statement in a language customary in the sphere of international business. The statement shall be ~~published by 30 April each year, covering the previous calendar year~~updated without undue delay if changes have occurred.

2022/10/27
Committee: ECON

Proposal for a directive
Article 13 – paragraph 1

In order to provide support to companies or to Member State authorities on how companies should fulfil their due diligence obligations, the Commission, in consultation with Member States and stakeholders, the E~~uropean Union Agency for Fundamental Rights, the European Environment Agency~~xecutive Agency for Small and Medium-sized Enterprises, and where appropriate with international bodies having expertise in due diligence, may issue guidelines, including for specific sectors or specific adverse impacts.

2022/10/27
Committee: ECON

Proposal for a directive
Article 14 – paragraph 1

1. Member States shall, in order to provide information and support to companies and the partners with whom they have ~~established~~direct business relationships in their value chains in their efforts to fulfil the obligations resulting from this Directive, set up and operate individually or jointly dedicated websites, platforms or portals. Specific consideration shall be given, in that respect, to the SMEs that are present in the value chains of companies.

2022/10/27
Committee: ECON

Proposal for a directive
Article 14 – paragraph 4

4. Companies may rely on industry schemes and multi-stakeholder initiatives to support the implementation of their obligations referred to in Articles 5 to 11 of this Directive to the extent that such schemes and initiatives are appropriate to support the fulfilment of those obligations. The Commission and the Member States ~~may~~shall facilitate the dissemination of information on such schemes or initiatives and their outcome. The Commission, in collaboration with Member States, may issue guidance for assessing the fitness of industry schemes and multi-stakeholder initiatives.

2022/10/27
Committee: ECON

Proposal for a directive
Article 15

1. companies referred to in Article 2(1), point (a), and Article 2(2), point (a), shall adopt a plan to ensure that the business model and strategy of the company are compatible with the transition to a sustainable economy and with the limiting of global warming to 1.5 °C in line with the Paris Agreement. This plan shall, in particular, identify, on the basis of information reasonably available to the company, the extent to which climate change is a risk for, or an impact of, the company’s operations. 2. in case climate change is or should have been identified as a principal risk for, or a principal impact of, the company’s operations, the company includes emission reduction objectives in its plan. 3. companies duly take into account the fulfilment of the obligations referArticle 15 deleted Combating climate change Member States shall ensure that Member States shall ensured to in paragraphs 1 and 2 when setting variable remuneration, if variable remuneration is linked to the contribution of a director to the company’s business strategy and long- term interests and sustainability.hat, Member States shall ensure that

2022/10/27
Committee: ECON

Proposal for a directive
Article 18 – paragraph 4 – subparagraph 2

Taking remedial action does not preclude the imposition of administrative sanctions ~~or the triggering of civil liability~~ in case of damages, in accordance with Articles 20 and 22, respectively.

2022/10/27
Committee: ECON

Proposal for a directive
Article 20 – paragraph 1

1. Member States shall lay down the rules on administrative sanctions applicable to infringements of national provisions adopted pursuant to this Directive, and shall take all measures necessary to ensure that they are implemented. The sanctions provided for shall be effective, proportionate and dissuasive.

2022/10/27
Committee: ECON

Proposal for a directive
Article 22

1. Member States shall ensure that companies are liable for damages if: (a) obligations laid down in Articles 7 and 8 and; (b) adverse impact that should have been identified, prevented, mitigated, brought to an end or its extent minimised through the appropriate measures laid down in Articles 7 and 8 occurred and led to damage. 2. Notwithstanding paragraph 1, Member States shall ensure that where a company has taken the actions referred to in Article 7(2), point (b) and Article 7(4), or Article 8(3), point (c), and Article 8(5), it shall not be liable for damages caused by an adverse impact arising as a result of the activities of an indirect partner with whom it has an established business relationship, unless it was unreasonable, in the circumstances of the case, to expect that the action actually taken, including as regards verifying compliance, would be adequate to prevent, mitigate, bring to an end or minimise the extent of the adverse impact. In the assessment of the existence and extent of liability under this paragraph, due account shall be taken of the company’s efforts, insofar as they relate directly to the damage in question, to comply with any remedial action required of them by a supervisory authority, any investments made and any targeted support provided pursuant to Articles 7 and 8, as well as any collaboration with other entities to address adverse impacts in its value chains. 3. damages arising under this provision shall be without prejudice to the civil liability of its subsidiaries or of any direct and indirect business partners in the value chain. 4. Directive shall be without prejudice to Union or national rules on civil liability related to adverse human rights impacts or to adverse environmental impacts that provide for liability in situations not covered by or providing for stricter liability than this Directive. 5. the liability provided for in provisions of national law transposing this Article is of overriding mandatory application in cases where the law applicable to claims to that effect is not the law of a Member State.Article 22 deleted Civil liability they failed to comply with the as a result of this failure an The civil liability of a company for The civil liability rules under this Member States shall ensure that

2022/10/27
Committee: ECON

Proposal for a directive
Article 23

~~Reporting of breaches and protection of Directive (EU) 2019/1937 shall apply to the reporting of all breaches of this Directive and the protection of persons reporting such breaches.~~Article 23 deleted reporting persons

2022/10/27
Committee: ECON

Proposal for a directive
Article 24

~~Member States shall ensure that companies applying for public support certify that no sanctions have been imposed on them for a failure to comply with the obligations of this Directive.~~Article 24 deleted Public support

2022/10/27
Committee: ECON

Proposal for a directive
Article 25

1. when fulfilling their duty to act in the best interest of the company, directors of companies referred to in Article 2(1) take into account the consequences of their decisions for sustainability matters, including, where applicable, human rights, climate change and environmental consequences, including in the short, medium and long term. 2. their laws, regulations and administrative provisions providing for a breach of directors’ duties apply also to the provisions of this Article.Article 25 deleted Directors’ duty of care Member States shall ensure that, Member States shall ensure that

2022/10/27
Committee: ECON

Proposal for a directive
Article 27

Directive (EU) No 2019/1937
Part I of the Annex

Amendment to Directive (EU) No In Point E.2 of Part I of the Annex to Directive (EU) No 2019/1937, the following point is added: ‘ (vi) [Directive … of the European Parliament and of the Council of … on Corporate Sustainability Due Diligence and amending Directive (EU) 2019/1937*130 ] ’ __________________ 130 + OJ: Please insert in the text the number and the date of the Directive contained in document ... and insert the OJ reference of that Directive in the footnote.rticle 27 deleted 2019/1937

2022/10/27
Committee: ECON

Proposal for a directive
Article 29 – paragraph 1 – point a

(a) whether the thresholds regarding the number of employees and net turnover laid down in Article 2(1) need to be ~~lower~~increased;

2022/10/27
Committee: ECON

Proposal for a directive
Article 29 – paragraph 1 – point d

~~(d) whether Articles 4 to 14 should be extended to adverse climate impacts.~~deleted

2022/10/27
Committee: ECON

Proposal for a directive
Article 30 – paragraph 1 – subparagraph 1

Member States shall adopt and publish, by … [OJ to insert: 24 years from the entry into force of this Directive] at the latest, regulations and administrative provisions necessary to comply with this Directive. They shall forthwith communicate to the Commission the text of those provisions.

2022/10/27
Committee: ECON

Proposal for a directive
Article 30 – paragraph 1 – subparagraph 2 – point a

(a) from… [OJ to insert: 24 years from the entry into force of this Directive] as regards companies referred to in Article 2(1), point (a), and Article 2(2), point (a);

2022/10/27
Committee: ECON

Proposal for a directive
Article 30 – paragraph 1 – subparagraph 2 – point b

(b) from … [OJ to insert: 46 years from the entry into force of this Directive] as regards companies referred to in Article 2(1), point (b), and Article 2(2), point (b).

2022/10/27
Committee: ECON