Young claimants take CPP to court over climate risks

Young Claimants Sue CPP Over Climate Risks

A groundbreaking lawsuit has been filed against the Canada Pension Plan Investment Board (CPP Investments), marking the first time a Canadian investor faces legal action for underestimating and failing to disclose climate change risks.

Details of the Lawsuit

Four young plaintiffs brought the case to the Ontario Superior Court, accusing CPP Investments of breaching its duty by exposing pension contributions to excessive risk from climate change. The claim emphasizes the financial implications rather than political or reputational concerns.

“It is really about financial risks of climate change,” said Karine Peloffy, a lawyer at Ecojustice, co-counsel for the case alongside Goldblatt Partners LLP. “It’s not about being nice, it’s not about politics, it's not about appearances. It’s about the actual legal obligation to manage the material risks of climate change.”

Risks to Retirement Prospects

The lawsuit argues that by ignoring and failing to report significant climate impacts, CPP Investments jeopardizes the retirement security of young contributors, including the four claimants who do not expect to retire before 2050.

Net Zero Targets and CPP Investments

While many organizations aim to achieve net zero emissions by 2050, CPP Investments withdrew its own 2050 net-zero target in May, raising concerns about its commitment to managing climate-related financial risks.

“By underestimating and failing to disclose dangerous climate impacts, CPP Investments is putting the retirement prospects of young contributors at risk.”

Author's summary: This lawsuit challenges CPP Investments’ handling of climate risks and aims to hold them accountable for protecting pension funds against financial threats posed by climate change.

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CBA National Magazine CBA National Magazine — 2025-10-31

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