JBCE Feedback on the Draft European Model Clauses for the Corporate Sustainability Due Diligence Directive

On 2 December 2024, JBCE submitted its feedback on the consultation for the Zero Draft of the European Model Clauses, developed in alignment with the EU Corporate Sustainability Due Diligence Directive (CSDDD).

In our feedback, we recognised that that contractual clauses between businesses play a crucial role in ensuring compliance with the CSDDD. The European Model Clauses can serve as a vital reference in this regard. We propose that the clauses be developed with the following three key principles:

• Adopt a risk-based approach: The model clauses should align with the risk-based approach of the CSDDD, emphasising how to address salient risks effectively.
• Ensure clarity in obligations: The clauses must eliminate ambiguity and clearly define the responsibilities of buyers and suppliers, reducing uncertainty.
• Provide flexibility: The clauses should allow for adaptability, reflecting the unique dynamics of each business partnership and the specific circumstances at hand.

To enhance clarity and ease of understanding, we strongly recommend keeping contracts as concise as possible and avoiding unnecessary complexity.

For more information, please contact info@jbce.org