Bill > SB739

This bill, titled the Creating Protecting Shareholders Act, aims to establish specific standards for what constitutes a breach of fiduciary duty for directors and officers of corporations in West Virginia, particularly concerning "environmental, social, and governance" (ESG) programs. ESG is defined as a framework measuring a business's non-financial behavior, with environmental aspects focusing on emissions, social aspects incorporating "diversity, equity, and inclusion" (DEI) into decisions, and governance aspects examining staff and board diversity using DEI factors. DEI itself is defined as actions or efforts to influence hiring, promote special benefits, or implement policies and trainings based on race, color, sex, ethnicity, or national origin, unless done to comply with anti-discrimination laws or court orders. The bill defines "pecuniary interest" as the shareholder's interest in minimizing financial risk and maximizing financial return. The core provision states that if a director or officer prioritizes any element of ESG over a shareholder's pecuniary interest, it will be considered prima facie evidence, meaning sufficient evidence on its face, of a breach of their fiduciary duty to the corporation or its shareholders.

Business and Industry

http://www.wvlegislature.gov/Bill_Status/Bills_history.cfm?input=739&year=2026&sessiontype=RS&btype=bill