Judge Denies Red State Bid to Axe ‘Woke’ ESG Investing Rule (1)

A federal judge in Texas upheld the Biden administration’s landmark climate-friendly 401(k) investing rule, which has sparked Republican pushback in courts and in Congress.

The US Labor Department’s environmental, social, and corporate governance investing rule will remain effective, despite a months-long quest by 26 red states to undo the rule under the Administrative Procedure Act (Pub.L.79-404).

The Thursday decision by Trump-appointed Judge Matthew J. Kacsmaryk to grant the DOL’s cross-motion for summary judgment is a setback for state attorneys general that have waged a months-long war against ESG retirement investing in the wake of the DOL proposal.