The Securities and Exchange Commission (SEC) submitted a proposal to rescind its 2024 climate-risk disclosure rule to the Office of Information and Regulatory Affairs on May 4, 2026. The rule never took effect because litigation paused its implementation shortly after adoption.
SEC staff is also preparing recommendations to the commission to rescind the rule at Chair Paul Atkins' direction. In a May 8, 2026, letter to the Eighth Circuit Court of Appeals, the SEC said it plans to reconsider the rules through notice-and-comment rulemaking and does not intend to renew its defense in court. The agency said staff has prepared recommendations to address commissioners' concerns that the rules exceed the commission's statutory authority and that costs outweigh benefits.
A SEC representative said that "the Commission is focused on returning the agency to its core mandate — in line with its legal authority — restoring a materiality-focused approach to securities regulation."
