Clauses

Climate-aligned clauses you can use in commercial contracts and legal documents

18 clauses

Gordon's DDQ

ESG Due Diligence Questionnaire for M&A and Capital Markets

A due diligence questionnaire (DDQ) that requires a company to provide information on its environmental, social and governance (ESG) strategy and related risk management.

Jurisdiction: England & Wales

Updated:

Wendy's Clause

Climate-Related Disclosure and Emissions Data in Loans (Australian law or APLMA)

A generic reporting or disclosure clause that can be included in the Asia Pacific Loan Market Association (APLMA) information and undertakings provisions of any corporate loan, and is not limited to those loans which are either (i) linked to sustainability goals or (ii) are considered ‘green’ projects. 

Jurisdiction: Australia

Updated:

Ruby's Clause

Short Form Shareholders’ Agreement

Amendments to a standard early stage shareholders’ agreement for SMEs that enable investors to hold an SME to account on climate change issues and align all parties’ interests with achieving net zero.

Jurisdiction: Australia

Updated:

Casper's Clause

Sustainability-Linked Loans

Model clauses, as a set of optional riders divided into product categories and ESG goals, to incorporate SLPs into traditional financing documents, standard T&Cs and finance products. 

Jurisdiction: England & Wales

Updated:

Nozomi's Clause

Net Zero Convertible Loan Note

Makes the qualifying criteria for receiving finance conditional on setting a net zero target and reflects this obligation in a convertible loan note instrument that incentivises net zero performance.

Jurisdiction: England & Wales

Updated:

Bella's Clause

Management Equity Ratchet Terms

A template clause for inclusion in investment documents to financially incentivise management teams to meet targets which are linked to climate change and environmental issues.

Jurisdiction: England & Wales

Updated:

Laith and Irsa's Clause

Interest Ratchet Clause for Carbon Saving

An interest ratchet mechanism for loan facility agreements that lowers the cost of capital for companies who (directly or indirectly) save carbon in their operations. 

Jurisdiction: England & Wales

Updated:

Lauren's Clause

Green Shareholders’ Agreement

Clauses for a shareholders' agreement which allow investors to hold the company to account on climate issues and incentivise shareholder support for the company's climate transition plan.

Jurisdiction: England & Wales

Updated:

Noah's Clause

Green or Sustainability-Linked Lending Requirement

Rider clauses (for LMA facilities agreements) that require each Lender to confirm that a percentage of its lending is sustainable or 'green' finance.

Jurisdiction: England & Wales

Updated:

Harrison's Clause

Green Loan “Starter Pack”

Green loan clauses that are aligned to the Green Loan Principles (as defined below) by reference to Loan Market Association (LMA) style drafting.

Jurisdiction: England & Wales

Updated:

Frank's Clause

Green Investment Obligations

Amendments to standard non-leveraged investment documents to focus the founders and investee company on climate change and environmental issues with their products, services, and operations.

Jurisdiction: England & Wales

Updated:

Rose's Clause

GHG Emissions Management Plans in Infrastructure and Construction Project Finance

This clause builds climate change mitigation into the environmental/ social standards in Development Finance Institution (DFI) or Export Credit Agency (ECA) finance transactions.

Jurisdiction: England & Wales

Updated:

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