Business

Climate Change and Investment Disputes: Legal Implications

By Xavier Roxy

March 28, 2024

98

The Department of Law at Parthenope University of Naples, located in the heart of Italy’s vibrant city of Naples, is a renowned institution that focuses on European Union law and international investment and trade law. With its prime location in one of Italy's most historically rich regions, the Department offers a unique perspective on legal issues surrounding climate change and sustainability. 

 

In recent years, there has been a growing emphasis on environmental protection and sustainable business practices within the European Union and globally. As companies face increasing pressure to reduce their carbon footprint and comply with ESG regulations, legal disputes related to climate change mitigation measures are becoming more prevalent. The COVID-19 pandemic has further accelerated this trend by highlighting the importance of corporate responsibility and ethical conduct. 

 

The transition to a low-carbon economy requires significant investments in new technologies and infrastructure. Companies that fail to adapt may face financial risks such as stranded assets or market value loss. In response to these challenges, ESG criteria are increasingly being integrated into long-term investment contracts across various industries. 

 

Moreover, recent cases such as Rockhopper Italia. The Italian Republic demonstrates how disputes over states' regulatory actions to combat climate change can lead to legal battles between investors and governments. As civil society continues to advocate for stricter environmental regulations, conflicts between public interests and economic concerns will continue to arise. 

 

To address these complex issues, the Department of Law at Parthenope University is launching a Special Issue focusing on climate change in the context of investment and trade law. This initiative aims to explore topics such as ESG risks in contracts and treaties; trade disputes related to climate mitigation measures; mandatory human rights due diligence; government roles in climate-related disputes; foreign investment screening mechanisms; among others. 

 

Authors interested in contributing can submit their manuscripts online through the journal's website www.mdpi.com before the deadline specified for this Special Issue. All submissions will undergo a rigorous peer-review process before publication. Accepted papers will be published continuously online once they pass the review process. 

 

In conclusion, as global efforts intensify towards combating climate change through sustainable business practices and regulatory frameworks, it is essential for legal scholars at institutions like Parthenope University's Department of Law in Naples to engage with these pressing issues through research publications like this Special Issue dedicated specifically addressing them from an academic standpoint.



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