Exxon Mobil Sues Activist Investors to Block Climate Proposal Vote

Oil giant argues proposal violates SEC rules and is driven by an 'extreme agenda', in unprecedented legal action that could impact future shareholder activism.

Exxon Mobil has filed a lawsuit against activist investors Follow This and Arjuna Capital to prevent their climate proposal from being voted on at the company's annual shareholder meeting.
The proposal calls for Exxon to adopt stricter 'Scope 3' targets to reduce emissions produced by users of its products, a measure already adopted by other major Western oil companies.
Exxon argues that the proposal violates SEC rules for investor petitions and is driven by an 'extreme agenda' that does not serve the interests of shareholders.
This is the first time Exxon has resorted to legal action to exclude a shareholder proposal, and a win could have significant implications for future shareholder activism.
The case has been assigned to a judge in the US District Court for Northern District of Texas, and Exxon has requested a decision by March 19, ahead of its annual shareholder meeting on May 29.