Company directors in Singapore could face personal liability if they fail to take action to address climate change risks, according to a new legal opinion by a team of independent legal counsel.

The legal analysis finds that Singaporean directors are obliged to consider climate change impacts as part of their duties to act in the best interests of the company. Therefore, directors could be subject to litigation if they fail to respond to climate risk – particularly where those risks are material to the business.

Commissioned by the Commonwealth Climate and Law Initiative (CCLI), the legal opinion, Directors’ Responsibilities and Climate Change under Singapore Law is authored by Mr. Jeffrey Chan Wah Teck SC, Senior Director TSMP Law Corporation, Dr. Joseph Chun, Partner, Shook Lin & Bok LLP, Dr. Ernest Lim, Associate Professor, NUS Law, Mr. Peter Doraisamy, Managing Partner and Mr. Gerard Quek, Partner of PD Legal LLC.