Sustainable Supply Chains

Many companies seek to avoid human rights abuses and environmental damage in their domestic and international supply chains – whether because they believe it is the right thing to do, for reputational reasons or in order to comply with relevant legislation. 

Legal risks around supply chain management have increasingly come to the fore in recent times, with judicial disputes on the rise. There are ever more cases of injured parties from developing countries making claims against (major) European companies. Due to supply chain legislation at German, international and EU level, there is a growing risk of companies being pilloried because of breaches of human rights by their suppliers.

Due diligence and reporting obligations relating to supply chains are already in place across Europe via the CSR Directive and the Conflict Minerals Regulation. In addition, California, Australia, France, the United Kingdom and the Netherlands have all adopted provisions for monitoring supply chains. In Switzerland, obligations for companies similar to those under current EU law are expected to apply soon, supplemented by a due diligence obligation with regard to child labour – based on the Dutch model. 

German companies also have to comply with these foreign laws as part of supply chain management, or can at least be indirectly affected if their customers demand compliance with them.

Our lawyers are always in touch with the latest developments around supply chain management. We assist you in implementing measures to comply with environmental and human rights standards in your supply chains – whether they are legally mandated, contractually required or requested by you. 

This includes more than just reviewing new or current suppliers and drafting contracts for your customers and suppliers. It extends to long-term projects for safe and sustainable production at foreign locations and establishing a system for risk assessment and prevention along your supply chains. 

If a dispute arises with injured parties, business partners or authorities, we are likewise committed to supporting you.