(The Center Square) – A coalition of 18 attorneys general called on the nonprofit group As You Sow to end activities that may violate antitrust and consumer protection laws.
As You Sow, a nonprofit shareholder advocacy organization founded in 1992, seeks to “create large-scale systemic change by establishing sustainable and equitable corporate practices.”
In a letter to As You Sow CEO Andrew Behar, the attorneys general said the nonprofit pressures companies to pursue net-zero emissions policies that are incompatible with the production of fossil fuels.
“As You Sow demands artificial transformations of entire markets and sectors, inevitably impacting the output and quality of the goods and services produced by those sectors,” the attorneys general wrote in the letter.
The attorneys general argued As You Sow seeks to implement policies that are aligned with its predetermined agenda, leaving it potentially in violation of antitrust laws. The coalition said the nonprofit attempts to discourage shareholders from investing in fossil fuel companies due to alleged unsustainability.
“As Attorneys General, we have a duty to protect the citizens of our States from unlawful business practices, and we are prepared to enforce antitrust laws if necessary to stop any illegal conduct by As You Sow,” the group wrote.
The coalition, led by Montana Attorney General Austin Knudsen, also said As You Sow may violate consumer protection laws by engaging in deceptive marketing regarding its relationship between the nonprofit’s various entities.
As You Know is a for-profit entity with a close business relationship to As You Sow. The attorneys general said As You Sow shared data about public companies with As You Know.
As You Know, the attorneys general allege, uses its benchmarking tools based on datasets from As You Sow’s database.
“As You Sow generates data for As You Know and supplies the activism and rules-based proxy voting underlying the market for As You Know’s products and services sold to investors,” the letter reads.
The attorneys general questioned whether the two entities’ relationship could be considered independent given the information provided publicly in advertisements.
“If companies do what As You Sow demands, they will score more favorably on As You Know’s benchmarks sold to them and to investors, which in turn influence investments and proxy voting,” the letter reads.
Will Hild, executive director of Consumers’ Research, criticized As You Sow for its policy agenda and misrepresentation of business relationships between entities.
“Instead of focusing on things like lower energy costs or strengthening the American economy, As You Sow’s only priority is to reshape the energy sector to meet senseless net-zero benchmarks,” Hild said.
Attorneys general Steve Marshall, Ala.; Stephen Cox, Alaska; Tim Griffin, Ark., James Uthmeier, Fla.; Christopher Carr, Ga.; Raul Labrador, Idaho; Brenna Bird, Iowa; Kris Kobach, Kansas; Liz Murrill, La.; Catherine Hanaway, Mo.; Mike Hilders, Neb.; Drew Wrigley, N.D.; Gentner Drummond, Okl.; Alan Wilson, S.C.; Marty Jackley, S.D.; Derek Brown, Utah; Keith Kautz, Wyo.; joined Montana Attorney General Austin Knudsen to sign the letter.
“As You Sow, a little-known but influential member of the climate cartel, is attempting to eliminate the fossil-fuel industry, which will have a devastating impact on Montanans, especially in the winter when we need fossil fuels to heat our homes,” Knudsen said.
“Their efforts to push their green, woke agenda and box out the fossil-fuel industry appear to be a violation of antitrust and Montana consumer protection laws. As attorney general, it’s my duty to ensure they are following the law and hold them accountable if they are not.”
