Compliance told to focus on reality as Euro courts brace for slew of greenwashing cases
By 
Ruth Prickett2025-12-30T07:00:00
In 2025, the regulatory focus on greenwashing intensified globally. Substantial fines and landmark legal decisions highlighted the financial and reputational risks of misleading stakeholders about sustainable practices. This trend is set to accelerate in 2026, and compliance has a key part to play in ensuring corporate statements are honest.
Richard Parlour, CEO of Financial Markets Law International and expert in “terracide” and financial crime, said the rise in legal action is not surprising given that greenwashing constitutes misrepresentation. The basic offence is not new.
THIS IS MEMBERS-ONLY CONTENT
You are not logged in and do not have access to members-only content.
If you are already a registered user or a member, SIGN IN now.
Related articles
-
News BriefEU agencies examine efforts to identify and monitor examples of greenwashing
The European Securities and Markets Authority, European Banking Authority, and European Insurance and Occupational Pensions Authority issued reports on greenwashing in the financial sector, describing how they plan to call out examples of false or misleading sustainability claims.
-
News BriefESMA guidelines tackle greenwashing via fund names
The European Securities and Markets Authority published its final report containing guidance for the use of environmental, social, and governance- and sustainability-related terminology in fund names.
-
News BriefLululemon facing probe in Canada over greenwashing complaints
Athletic apparel company Lululemon is under investigation by the Canadian Competition Bureau regarding whether it made misleading claims about environmental aspects of its business.
More from Regulatory Policy
-
ArticleSFO guidance on evaluating compliance programs short on specifics, experts say
Companies looking for greater certainty about how they might avoid criminal prosecution for bribery, fraud, and corruption offences may find they’re going to be disappointed if they’re looking for definitive answers in the latest guidance from the U.K.’s main fraud investigator, say experts.
-
ArticleEU loosens AI and data rules
Europe has been at the forefront of designing strong—but flexible—rules around data use and the safe development of AI, but the EU recently announced plans to simplify some key measures around data privacy and AI governance, which have met with mixed responses.
-
PremiumQ&A with FINRA’s Greg Ruppert on the organization’s use of Artificial Intelligence
Greg Ruppert, Chief Regulatory Operations Officer at the Financial Industry Regulatory Authority (FINRA), recently shared insights with Compliance Week regarding the self-regulatory organization’s use of Artificial Intelligence in monitoring trends in the market, spotting threats, and keeping its members informed.