Companies of a certain size with ties to Germany must soon establish robust due diligence procedures to prevent human rights and environmental abuses both within the course of their own business activities and within their global supply chains.
Following months of fierce debate, Germany’s government adopted on March 3 a draft “Supply Chain Act” (Lieferkettengesetz), also called the “Due Diligence Act (Sorgfaltspflichtengesetz),” now being weighed in German parliament. On May 7, the legislation passed the upper house; it is currently in the lower house for final discussion and voting.
