Responsible Contracting Project

Yesterday, with terrific pro bono support from Brian D. Ginsberg, Bradley Wanner, and the team at Harris Beach PLLC, the Responsible Contracting Project amici curiae, John F. Sherman, III, Olivia Windham Stewart, and Sarah Dadush, filed an amicus brief in the United States Court of Appeals for the Ninth Circuit in a case involving abrupt order cancelations by a major apparel retailer that has committed--both publicly and contractually--to uphold the United Nations Guiding Principles on Business and Human Rights (#UNGPs). The brief, which was filed in support of neither party, considers the tension between companies' public commitments to human rights standards and their (private) contracting practices. It offers context for the court on the UNGPs, explaining how immediate termination can harm workers' human rights and highlighting the importance of Responsible Exit for preventing and mitigating adverse impacts. #responsibleexit #bizhumanrights #HREDD

The #CSDDD requires #responsiblecontracting - the #EMCs provide a model for that and are now open for consultation At the Responsible Contracting Project, we took a deep look at the CSDDD and its recitals for our policy paper (https://lnkd.in/dtmARJhK) on the role #contracts are given. Key takeaways include: - Contracts are no #silverbullet. They can serve as a framework that enables buyers and suppliers to cooperate to set up effective due diligence. They are a #buildingblock of the house of HREDD, not the #house. - Contracts have to be #appropriate: they should reflect the role of both parties in potentially jointly causing impacts, not set requirements that are not reasonably available and effectively incentivise HREDD, for example, blanket guarantees to be risk-free. - Contracts should reflect the #sharedresponsibilities and allocate tasks of both parties to uphold human rights - for buyers, this means, i.a.: engaging in responsible purchasing, collaboration, appropriate cost sharing. IF you are now wondering where to find contractual clauses that can guide you when implementing these requirements, look no further! The #EMCs - now available and open for consultation under the link below provide first answers. They formulate clauses to comply with #CSDDD and are developed with RCP`s participation under the leadership of Martijn Scheltema and David Snyder with great colleagues from BHR practice & academia from FR, GER, IT, ES, PL, PT, NL Maria Pia Sacco, Ph.D. (she/her) Salli Swartz Stéphane Brabant Sarah Dadush Lhuilier Gilles Anna Beckers Bettina Braun Michael Riegner Michaela Streibelt Angelica Bonfanti Achille Calio Marincola Roberto Randazzo Stanisław Drozd Beata Faracik Claire Bright Maria Folque Carmen Márquez Carrasco Jose María de Paz Noemi Marques de Magallanes Crespo Jaime de Blas Aguilera JORDI GRAS #EncarnaCordero #AndreaSanchez Mariona Bernaus Jovell Rita Prates Rachel Barrett. We are looking forward to reading and hearing your feedback, learning from you and improving our tools. This is the beginning of a journey, not its end.

🌍 ⚖️ Das #Lieferkettengesetz verpflichtet Unternehmen in ihren #Lieferketten menschenrechtliche und umweltbezogene Sorgfaltspflichten in angemessener Weise zu beachten. 📖 Die gemeinsame Handreichung von BAFA und Helpdesk Wirtschaft und Menschenrechte zur „𝗭𝘂𝘀��𝗺𝗺𝗲𝗻𝗮𝗿𝗯𝗲𝗶𝘁 𝗶𝗻 𝗱𝗲𝗿 𝗟𝗶𝗲𝗳𝗲𝗿𝗸𝗲𝘁𝘁𝗲 𝘇𝘄𝗶𝘀𝗰𝗵𝗲𝗻 𝘃𝗲𝗿𝗽𝗳𝗹𝗶𝗰𝗵𝘁𝗲𝘁𝗲𝗻 𝗨𝗻𝘁𝗲𝗿𝗻𝗲𝗵𝗺𝗲𝗻 𝘂𝗻𝗱 𝗶𝗵𝗿𝗲𝗻 𝗭𝘂𝗹𝗶𝗲𝗳𝗲𝗿𝗲𝗿𝗻“ zeigt auf, was verpflichtete Unternehmen bei der Zusammenarbeit mit ihren Zulieferern dabei berücksichtigen sollten.   Nun ist die Handreichung sowie die Executive Summary auf Spanisch und Französisch erschienen:   📖 𝗭𝘂𝘀𝗮𝗺𝗺𝗲𝗻𝗮𝗿𝗯𝗲𝗶𝘁 𝗶𝗻 𝗱𝗲𝗿 𝗟𝗶𝗲𝗳𝗲𝗿𝗸𝗲𝘁𝘁𝗲 🇪🇸 https://lnkd.in/ejURdzcK 🇫🇷 https://lnkd.in/eK6VyxQc   📖 𝗭𝘂𝘀𝗮𝗺𝗺𝗲𝗻𝗮𝗿𝗯𝗲𝗶𝘁 𝗶𝗻 𝗱𝗲𝗿 𝗟𝗶𝗲𝗳𝗲𝗿𝗸𝗲𝘁𝘁𝗲 – 𝗘𝘅𝗲𝗰𝘂𝘁𝗶𝘃𝗲 𝗦𝘂𝗺𝗺𝗮𝗿𝘆 🇪🇸 https://lnkd.in/e2sX5RPc 🇫🇷 https://lnkd.in/eAFfrsBN

We are seeking your feedback! 📣 The second round of consultations is now open for the Zero Draft of the European Model Clauses (#EMCs). The EMCs are a set of model contract clauses tailored to the new EU Corporate Sustainability Due Diligence Directive (#CSDDD) and other voluntary and mandatory human rights and environmental due diligence (#HREDD) requirements, like the #UNGP or #LkSG. Follow the link below for more information on the EMCs and the consultation process. The EMCs are crafted by a working group of pan-European professors, lawyers, and legal professionals with the involvement of several RCP members: under the leadership of Martijn Scheltema and David Snyder the team includes Maria Pia Sacco, Ph.D. (she/her) Salli Swartz Stéphane Brabant Sarah Dadush Lhuilier Gilles Anna Beckers Bettina Braun Michael Riegner Daniel Schönfelder Michaela Streibelt Angelica Bonfanti Achille Calio Marincola Roberto Randazzo Stanisław Drozd Beata Faracik Claire Bright Maria Folque Carmen Márquez Carrasco Jose María de Paz Noemi Marques de Magallanes Crespo Jaime de Blas Aguilera JORDI GRAS #EncarnaCordero #AndreaSanchez Mariona Bernaus Jovell Rita Prates Rachel Barrett. Various stakeholder groups, including in-scope companies and smaller companies in the Global North and the Global South, civil society organizations, academics, think tanks, consultancies, and national and international governmental organizations, are encouraged to submit feedback. Feedback is sought to ensure the clauses are fit for purpose and a product of an inclusive, balanced, and legitimate process. The consultations are being coordinated by the Responsible Contracting Project with the financial support of #InitiativeforGlobalSolidarity which is implemented by Deutsche Gesellschaft für Internationale Zusammenarbeit GmbH on behalf of the #GermanFederalMinistryforEconomicCooperationandDevelopment. The consultations will continue until the end of October, and the first official version of the EMCs (the EMCs 1.0) will be published in early 2025. We can't wait to hear from you! https://lnkd.in/ghV22c-8 PD: if you want to know upon which requirements on contracts the #CSDDD contains, please take a look at our #policybrief - the EMCs show how they could be implemented: https://lnkd.in/ekde4aJP

Very excited to see the enthusiastic reception of RCP's (very first!) Policy Brief: "What the EU Corporate Sustainability Due Diligence Directive (CSDDD) Says About Contracts"! If you haven't seen it yet, you can find it on the RCP website (https://lnkd.in/ekz2SD2t) and on SSRN (https://lnkd.in/ev29wVna) Daniel Schönfelder Michaela Streibelt Responsible Contracting Project Ben Rutledge Claire Bright Stéphane Brabant Dorothee Baumann-Pauly Martijn Scheltema Doug Cassel Suzanne Spears David Frydlinger Chintan Panchal Ruben Zandvliet Gabrielle Holly Lara Wolters John F. Sherman, III Rachel Chambers Chavi Nana Joanne Bauer Chana Rosenthal Deborah Burand Danielle Reyes Jill Tucker Jason Judd Sarah Ong Ilishio Lovejoy Olivia Windham Stewart Lise Smit Lisa Ramershoven Jon Tan 陈文聪 Will Kim Patrick Miller Alison Taylor Sophie Z. Lisa Sachs Warren Bishop Ben Metz Anthony Hallal Dr. Philine Wehling Anna Triponel https://lnkd.in/e_J3U_YC #CSDDD #UNGPs #duediligence #BHR #responsiblecontracting #responsiblepurchasing #livingwage

ICYMI, RCP's policy brief "What the EU Corporate Sustainability Due Diligence Directive Says About Contracts," is now available on SSRN. In addition to analyzing the #CSDDD, the brief provides practical guidance on (re)designing commercial contracts to ensure effective human rights and environmental due diligence (#HREDD). https://lnkd.in/eZ35u5N4

Following the publication of the EU Corporate Sustainability Due Diligence Directive (#CSDDD) on July 5, the Responsible Contracting Project (RCP) has released a policy brief called "What the EU Corporate Sustainability Due Diligence Directive Says About Contracts," detailing the critical role of #commercialcontracts under the Directive. This brief provides clear guidance for companies on how to effectively (re)design their contracts to meet human rights and environmental due diligence (#HREDD) requirements in supply chains under the CSDDD. It also includes a chart summarising the dos and don’ts of due diligence-aligned contracting. There can be little doubt that the CSDDD marks the increased relevance of commercial contracts as tools for HREDD. Indeed, contracts feature prominently in Article 10 on preventive measures and Article 11 on corrective measures. The Directive requires large EU companies to conduct due diligence across their “chain of activities,” including with their business partners and subsidiaries. These requirements are highly relevant to contracts as the legal links that mediate #supplychain relationships. What’s more, the brief outlines steps to getting diligence-aligned contracting right. While the CSDDD allows a lot of flexibility for how companies design and implement due diligence, and thus their contracts, contracts are ultimately required to be “appropriate” and “effective” under the Directive. The brief provides an overview of the types of contracting practices that companies should avoid and which they should pursue to be in sync with the new Directive. The guidance focuses on the following principles of responsible contracting: 1) Don’t employ risk-shifting contracts that simply transfer due diligence responsibilities to business partners and require perfect compliance. Instead, use contracts that share the responsibility for due diligence and facilitate on-going cooperation between the parties. 2) Don’t ignore the role of in-scope companies’ purchasing practices. Instead, include a contractual commitment to responsible purchasing practices from day one. 3) Include cost-sharing commitments in your contracts to ensure that HREDD-related costs are fairly distributed and that business partners, especially SMEs, are not overburdened. 4) Include a contractual commitment to remediate (cure, correct) adverse impacts that may arise and prioritise remediation ahead of order cancelation or termination. Include responsible exit commitments in the contract. Do not include immediate or zero-tolerance termination rights. Please click the link below to read and download the full policy brief. https://lnkd.in/ekde4aJP Michaela Streibelt Daniel Schönfelder Sarah Dadush #responsiblecontracting #responsiblecontracting #humanrights #ethicalbiz #supplychains #bizhumanrights

Following the publication of the EU Corporate Sustainability Due Diligence Directive (#CSDDD) on July 5, the Responsible Contracting Project (RCP) has released a policy brief called "What the EU Corporate Sustainability Due Diligence Directive Says About Contracts," detailing the critical role of #commercialcontracts under the Directive. This brief provides clear guidance for companies on how to effectively (re)design their contracts to meet human rights and environmental due diligence (#HREDD) requirements in supply chains under the CSDDD. It also includes a chart summarising the dos and don’ts of due diligence-aligned contracting. There can be little doubt that the CSDDD marks the increased relevance of commercial contracts as tools for HREDD. Indeed, contracts feature prominently in Article 10 on preventive measures and Article 11 on corrective measures. The Directive requires large EU companies to conduct due diligence across their “chain of activities,” including with their business partners and subsidiaries. These requirements are highly relevant to contracts as the legal links that mediate #supplychain relationships. What’s more, the brief outlines steps to getting diligence-aligned contracting right. While the CSDDD allows a lot of flexibility for how companies design and implement due diligence, and thus their contracts, contracts are ultimately required to be “appropriate” and “effective” under the Directive. The brief provides an overview of the types of contracting practices that companies should avoid and which they should pursue to be in sync with the new Directive. The guidance focuses on the following principles of responsible contracting: 1) Don’t employ risk-shifting contracts that simply transfer due diligence responsibilities to business partners and require perfect compliance. Instead, use contracts that share the responsibility for due diligence and facilitate on-going cooperation between the parties. 2) Don’t ignore the role of in-scope companies’ purchasing practices. Instead, include a contractual commitment to responsible purchasing practices from day one. 3) Include cost-sharing commitments in your contracts to ensure that HREDD-related costs are fairly distributed and that business partners, especially SMEs, are not overburdened. 4) Include a contractual commitment to remediate (cure, correct) adverse impacts that may arise and prioritise remediation ahead of order cancelation or termination. Include responsible exit commitments in the contract. Do not include immediate or zero-tolerance termination rights. Please click the link below to read and download the full policy brief. https://lnkd.in/ekde4aJP Michaela Streibelt Daniel Schönfelder Sarah Dadush #responsiblecontracting #responsiblecontracting #humanrights #ethicalbiz #supplychains #bizhumanrights

Following the publication of the EU Corporate Sustainability Due Diligence Directive (#CSDDD) on July 5, the Responsible Contracting Project (RCP) has released a policy brief called "What the EU Corporate Sustainability Due Diligence Directive Says About Contracts," detailing the critical role of #commercialcontracts under the Directive. This brief provides clear guidance for companies on how to effectively (re)design their contracts to meet human rights and environmental due diligence (#HREDD) requirements in supply chains under the CSDDD. It also includes a chart summarising the dos and don’ts of due diligence-aligned contracting. There can be little doubt that the CSDDD marks the increased relevance of commercial contracts as tools for HREDD. Indeed, contracts feature prominently in Article 10 on preventive measures and Article 11 on corrective measures. The Directive requires large EU companies to conduct due diligence across their “chain of activities,” including with their business partners and subsidiaries. These requirements are highly relevant to contracts as the legal links that mediate #supplychain relationships. What’s more, the brief outlines steps to getting diligence-aligned contracting right. While the CSDDD allows a lot of flexibility for how companies design and implement due diligence, and thus their contracts, contracts are ultimately required to be “appropriate” and “effective” under the Directive. The brief provides an overview of the types of contracting practices that companies should avoid and which they should pursue to be in sync with the new Directive. The guidance focuses on the following principles of responsible contracting: 1) Don’t employ risk-shifting contracts that simply transfer due diligence responsibilities to business partners and require perfect compliance. Instead, use contracts that share the responsibility for due diligence and facilitate on-going cooperation between the parties. 2) Don’t ignore the role of in-scope companies’ purchasing practices. Instead, include a contractual commitment to responsible purchasing practices from day one. 3) Include cost-sharing commitments in your contracts to ensure that HREDD-related costs are fairly distributed and that business partners, especially SMEs, are not overburdened. 4) Include a contractual commitment to remediate (cure, correct) adverse impacts that may arise and prioritise remediation ahead of order cancelation or termination. Include responsible exit commitments in the contract. Do not include immediate or zero-tolerance termination rights. Please click the link below to read and download the full policy brief. https://lnkd.in/ekde4aJP Michaela Streibelt Daniel Schönfelder Sarah Dadush #responsiblecontracting #responsiblecontracting #humanrights #ethicalbiz #supplychains #bizhumanrights

📣 SAPIENS Scientific Webinar Invitation SUSTAINABILITY CLAUSES IN PRIVATE AND PUBLIC CONTRACTS: THE AFTERMATH OF CSDDD 📅 Webinar date: Friday, 12th of July, from 11 to 12:30 am (Rome, Paris, Berlin time) Our Speakers: Kateřina Mitkidis is a professor at Aarhus University, specializing in environmental law, sustainable development, and international business contracts. Her work extensively addresses sustainability, regulatory frameworks, and corporate responsibility in global supply chains. Her research focuses on the enforcement of sustainability clauses in supply chains, examining the interplay of contract and tort law, and promoting human and labor rights in transnational supply chains. Katerina has made significant contributions to strategies for mitigating plastic pollution, promoting sustainable consumption and production, and greening global value chains. Ezgi Uysal is a PhD Researcher at the University of Turin and an Early Stage Researcher at the SAPIENS Network. Her research focuses on monitoring and enforcing sustainability clauses in the performance of public procurement contracts, as well as the interplay between contract law and public procurement law. She publishes on sustainable public procurement, business and human rights and CSDDD. Daniel Schönfelder serves as Responsible Contracting Project's European Legal Advisor. Within RCP, his primary focus is on drafting and disseminating clauses tailored to the German and European contexts. Daniel coordinates the German Team for the project developing European Model Contract Clauses, playing a pivotal role in cultivating and sustaining relationships with key stakeholders such as academia, businesses, NGOs, consultancies, and the broader business and human rights community. Daniel, a German lawyer and lecturer in Business and Human Rights (BHR), is actively involved in implementing the German Supply Chain Due Diligence Act at an international logistics firm. Martijn Scheltema is a professor of private law at Erasmus University Rotterdam, partner at Pels Rijcken, and member of the Dutch Supreme Court Bar. He has been involved in Supreme Court corporate, enforcement, and procedural issues, as well as (international) arbitration setting aside proceedings. He has been counsel in several international landmark Human Rights cases with the Dutch Supreme Court (e.g. Urgenda). He is co-chair of the European Working Group for Model Clauses in Supply Chains and chair of the dispute resolution bodies of the Dutch International Responsible Business Conduct Agreements in the natural stone and renewable energy sectors. He is co-chair of the Law & Sustainable Business Research group of his faculty. #responsiblecontracting #sustainablecontracting #sustainablepublicprocurement #SPP #CSDDD #sustainabilityclauses #CSR #SCCs