December 11, 2014
Partners and co-heads of Torys’ Mining and Metals Practice, Michael Amm and Michael Pickersgill, were both quoted in a recent Financial Post article on the evolving landscape of corporate social responsibility in the mining sector. Below is an excerpt of the article.
[Y]ou'd be hard pressed to find a Canadian company that isn't at least talking a good game on CSR. Visit the website of any Canadian mining company and you're sure to find a section detailing its work with local communities. This can trigger some liability issues, lawyers warn. If a company claims to have a CSR regime in place, the people in those communities might have a cause of action if the promised benefits fail to materialize. "The magic rule is that if you build a system, you need to actually carry it out," says Mike Pickersgill, a lawyer with Torys LLP in Toronto.
The situation extends into mergers and acquisitions. The purchaser should analyze the target's CSR policies, adds Michael Amm, another mining lawyer with Torys in Toronto. "Don't just do your regular corporate, environmental, and technical diligence. Delve into the community issues with the right people," he says. "And if you find something, take a proactive approach to address it."
To read the full article, click here.