J.S. Held Experts Examine Sustainability Investments and Headwinds in Annual Global Risk Report

Global sustainability regulations present complex challenges for businesses amid regulatory uncertainty.

Jan 28, 2025

3 min

John Peiserich, Esq.

In the 2025 J.S. Held Global Risk Report, scientific, technical, financial, and risk management experts explore the implementation of new and existing Environmental, Social & Governance (ESG) regulations across different regions along with significant compliance challenges for organizations operating on a global scale. As sustainability continues to be a critical issue worldwide, businesses are facing an increasingly complex regulatory landscape. While some jurisdictions are advancing sustainability frameworks, others, most notably the United States, are likely to see new environmental and energy policies which disfavor sustainability advancements as reflected by recent executive orders following the change in administrations.



The European Union’s Corporate Sustainability Due Diligence Directive (CS3D), adopted in 2024, is a landmark regulation requiring both EU and non-EU companies to conduct due diligence to identify and prevent adverse environmental and human rights impacts throughout their operations and supply chains. J.S. Held environmental risk and compliance expert John Peiserich, Esq., observes, “Compliance with CS3D poses significant challenges for multinational corporations, especially those selling into the EU market, as they navigate conflicting regulatory requirements across jurisdictions.”


In the United States, ESG-related policies have become a polarizing issue. Some states have mandated ESG criteria—such as climate risk assessments—for state-related investment decisions, while others have actively opposed such measures. Kim Logue Ortega, Associate Vice President at J.S. Held, adds, “Despite these contrasting approaches, businesses must continue addressing sustainability concerns, as environmental considerations are increasingly tied to permitting and regulatory approvals.”


Following the June, 2024 United States Supreme Court ruling in Loper Bright, a team of environmental risk experts at the Verdantix Green Quadrant recognized consultancy J.S. Held, examined in Crosscurrents: Companies Face Regulatory Uncertainties in Wake of SCOTUS Decisions, how the Supreme Court further complicated the regulatory environment by undermining agency authority to define compliance standards. This ruling is expected to lead to increased legal challenges to environmental and sustainability-related regulations, adding further uncertainty for businesses seeking to comply with evolving standards.


With the second Trump administration expected to roll back key environmental justice directives and sustainability-related incentives introduced under the previous Administration, businesses must remain vigilant in monitoring regulatory developments. Strategic planning and proactive risk management will be crucial for navigating the evolving ESG landscape and maintaining compliance across multiple jurisdictions.



J.S. Held experts present insights into how organizations can align with evolving frameworks while driving innovation and managing risk, as they explore:


1. EU Corporate Sustainability Due Diligence Directive, where non-compliance could lead to fines and civil liability, necessitating companies to rigorously assess environmental and human right impacts.


2. Regulatory Fragmentation and Greenwashing / Greenhushing, summoning businesses to avoid exaggerated or underreported sustainability claims to mitigate the rising threat of litigation and regulatory scrutiny.


3. Shareholder Activism and Litigation, as investors demand greater transparency on sustainability goals, which may present legal consequences for failing to meet expectations.


One week into the new Administration in the United States, the anticipated rollback of environmental justice directives and sustainability-related incentives introduced under the previous Administration have begun to take shape in the form of various Executive Actions and other directives. J.S. Held experts are actively monitoring regulatory developments, providing strategic guidance to multinational clients as they navigate the evolving ESG landscape and compliance requirements across multiple jurisdictions.


Sustainability is just one of the five key areas analyzed in the J.S. Held 2025 Global Risk Report. Other topics include global supply chain challenges, the rise of crypto and digital assets, AI and data regulations, and managing cyber risk.


If you have any questions or would like to further discuss the risks and opportunities outlined in the report, please email GlobalRiskReport@jsheld.com.


For any other media inquiries - simply contact :


Kristi L. Stathis, J.S. Held

+1 786 833 4864

Kristi.Stathis@JSHeld.com


Connect with:
John Peiserich, Esq.

John Peiserich, Esq.

Executive Vice President | Environmental, Health & Safety Practice Lead

Environmental Risk & Compliance Expert | Independent Monitor - EPA Suspension & Debarment Program | Public Policy Advisor

Environmental Risk & ComplianceOil & GasProducts Liability & Mass TortsToxic TortsNatural Resources

You might also like...

Check out some other posts from J.S. Held LLC

2 min

Crosscurrents: Global Sustainability Divides & ESG Compliance, Litigation Risks, and Corporate Responsibility

As sustainability moves from niche topic to boardroom central, companies face an increasingly complex global environment of regulatory divergence, disclosure demands and reputational risk. A recent article by J.S. Held's John Peiserich examines how multinational firms can respond effectively to the “crosscurrents” of ESG compliance, litigation exposure and evolving definitions of corporate responsibility. John Peiserich specializes in environmental risk and compliance. With over 30 years of experience, John provides consulting and expert services for heavy industry and law firms throughout the country with a focus on Oil & Gas, Energy, and Public Utilities, including serving as an expert witness in arbitration proceedings and in state and federal courts. View his profile here Key Insights: Sustainability now touches every major business function — environmental, social, and governance — and must be embedded in strategy rather than treated as an add-on. Regulatory landscapes are diverging: while the U.S. federal approach remains fragmented, individual states like California are moving ahead with mandatory climate and emissions-related corporate disclosures. In contrast, the European Union’s Green Deal and related frameworks promote a more unified regulatory model, creating operational tension for multinational corporations. Litigation and disclosure risk are increasing, with “greenwashing” (overstating sustainability achievements) and “greenhushing” (avoiding or under-reporting ESG performance) emerging as major board-level concerns. Effective risk management now requires scalable data systems, transparent communication, strong governance, and agility to adapt across multiple regulatory regimes. Why this matters: The widening divide between jurisdictions — and intensifying scrutiny of corporate sustainability claims — means ESG compliance can no longer be treated as a checkbox exercise. Organizations that fail to anticipate regulatory expectations or align ESG strategy with business goals risk legal exposure, reputational harm, and missed opportunities for value creation. Strategic Insights for Corporate Leadership on Sustainability Boards and executives must adjust their mindset, seeing sustainability not as a burden but as a catalyst for growth and differentiation. Proactive investment in research, development, and stakeholder engagement will help organizations seize new opportunities and maintain credibility in a fast-changing world. Documentation and transparency are vital defenses against legal challenges, while ongoing monitoring of policy and market trends ensures adaptability. Ultimately, the most successful companies will treat sustainability as an essential tenet of strategy—aligning profit, purpose, and governance to secure their position in the global marketplace. Navigating the crosscurrents of sustainability requires courage, judgment, and a commitment to continuous learning. By embracing these principles, corporations can build a future that is not only profitable but also just, resilient, and worthy of the trust placed in them by shareholders and society alike. Looking to know more or connect with John Peiserich about this important topic? Simply click on his icon now to arrange an interview today.

1 min

The Case for Out-of-Court Winddowns

Boards of directors facing insolvency should consider an out-of-court winddown as a viable alternative to bankruptcy or court-appointed receivership. This approach offers greater discretion and control, helping to safeguard their reputation and maintain constructive relationships with lenders and sponsors. A recent article by J.S. Held's Michael Jacoby, titled "The Case for Out-of-Court Winddowns," provides step-by-step guidance on the out-of-court winddown process and explains why it’s gaining popularity by comparing the pros and cons to more traditional business closure paths. Michael Jacoby, Senior Managing Director and Strategic Advisory Practice Lead of J.S. Held, is a skilled executive with extensive operating, turnaround, restructuring, and M&A experience. Michael has served in advisory capacities as well as an independent director, Chief Restructuring Officer (CRO), investment banker, and interim manager for more than 400 clients in various industries. View his profile here. Why this matters: As financial pressures mount — rising interest rates, tighter credit, private-equity portfolio stress — the flexibility and control of out-of-court winddowns make them a timely alternative. Boards, lenders, and private equity sponsors who recognize this can act faster, protect reputation, and maximize value for stakeholders. Looking to know more? Connect with Michael Jacoby today by clicking on his icon below.

1 min

Unlocking Liquidity Through Fine Art Appraisal and Lending

As financial markets shift, fine art collectors and investors are discovering new ways to unlock liquidity without parting with prized works. Art-backed loans, supported by professional appraisal, allow owners to access capital while maintaining ownership and display rights. This article explores how lenders and borrowers alike can benefit from these arrangements—when supported by rigorous appraisal standards and careful risk management. What’s covered: • The role of USPAP-compliant appraisal in fine art lending • How fair market value differs from insurance replacement value • Loan-to-Value (LTV) ratios and best practices in structuring art-backed loans • Key borrower responsibilities: insurance, storage, and title maintenance • Risk considerations for lenders, including authenticity, liquidity, and due diligence Connect with the Experts Amanda McConaha Senior Fine Art Appraiser Expert in Post-War, Contemporary, and Emerging Fine Art valuations, specializing in collateral loans and insurance appraisals. amanda.mcconaha@jsheld.com Michael Alexander Senior Vice President, Economic Damages & Valuations Brings deep expertise in valuation methodologies, forensic investigations, and financial analysis. michael.alexander@jsheld.com Dalton Campbell Consultant, Economic Damages & Valuations Provides financial and economic analysis with a focus on valuation, estate law, and all stages of pre-litigation and litigation support. dalton.campbell@jsheld.com For any media inquiries, contact : Kristi L. Stathis, J.S. Held +1 786 833 4864 Kristi.Stathis@JSHeld.com.

View all posts