Since 2007, the ability to become a Certified B Corporation (“B Corp”) has given companies a way to set themselves apart as being mission-oriented and focused on priorities beyond shareholder returns. As of October 2024, this global movement encompasses nearly 9,500 companies in more than 100 countries, spans 160 industries and includes many household brand names such as Athleta, allbirds, Ben & Jerry’s, Danone North America, Eileen Fisher, New Belgium Brewing Co., and Patagonia. Could B Corp certification be the right choice for your business?
/continue readingAuthor: Jon Klavens
Public Benefit Corporations Explained
Should you consider forming your business as a benefit corporation or perhaps investing in one? Benefit corporations, also called public benefit corporations in some states, are a relatively new form of corporate entity that has grown in popularity in recent years. First recognized in 2010 in Maryland, this form of entity is now available in the overwhelming majority of U.S. jurisdictions. The benefit corporation form of entity takes aim at a key feature of traditional corporate law that can create tension with a mission-oriented or impact-driven business: namely, that directors and officers of corporations may have a legal duty to prioritize the maximization of financial return to shareholders above all else. Failure to do so exposes traditional corporations and their managers to the risk of lawsuits by shareholders for breach of that fiduciary duty.
/continue readingClimate Tech Fundraising in Tough Times – Part 3 – Managing a Down Round
When faced with an unavoidable down round, a climate tech startup needs to tread carefully. This article – the third in a series – discusses some important things to keep in mind in managing a down round venture financing. See Part 1 of our series to learn about alternatives for averting a down round, and see Part 2 of our series to learn about common investor-favorable deal terms in a tough financing environment.
/continue readingClimate Tech Fundraising in Tough Times – Part 2 – Market-Driven Deal Terms
This article – part two of a series – examines venture financing deal terms that are more prevalent in difficult market conditions. See Part 1 of our series to learn about alternatives for averting a down round. See Part 3 of our series to learn about strategies for managing an unavoidable down round.
/continue readingClimate Tech Fundraising in Tough Times – Part 1 – Averting a Down Round
In a tougher venture financing environment, climate tech startups may need to consider strategies for averting a down round (a financing in which the pre-money valuation drops below the post-money valuation from the last round). This article – part one of a series – reviews current market trends and various strategies to avoid a down round. Part 2 of our series addresses how market conditions impact deal terms and Part 3 discusses how to manage an unavoidable down round.
/continue readingUnderstanding the Corporate Transparency Act: What Clean Energy Companies Need to Know
In 2024, millions of businesses will be faced with an unprecedented obligation to report information regarding their beneficial owners to the U.S. government under the Corporate Transparency Act. Check out our latest blog post for more information about the CTA, how it will impact clean energy project developers and startup companies, and key tips on what to do next.
In 2024, millions of businesses in the United States will be faced with a new and unprecedented obligation to report information regarding their beneficial owners to the federal government under the Corporate Transparency Act. Read on for more information about the Corporate Transparency Act, how it will impact clean energy project developers and startup companies, and key considerations for what to do next.
KLG Welcomes Samantha Rothberg
We are excited to announce that Samantha Rothberg has joined Klavens Law Group, P.C. as senior corporate counsel.
Sam’s practice focuses on companies and investors in the cleantech, climate tech and social enterprise sectors. She assists companies at each phase of their life cycle – from early-stage startups to established private companies – in a diverse array of areas, including startup formation, outside general counsel advising, corporate governance, equity compensation, venture financings, debt transactions, joint ventures, and mergers and acquisitions. Sam also supports the purchase and sale and financing of clean energy projects. In addition, she advises nonprofit organizations on formation, corporate governance and transactional matters.
Between graduating from Harvard Law School in 2015 and joining Klavens Law Group this summer, Sam practiced corporate law at WilmerHale.
Sam was named to Boston Magazine's Top Lawyers list in 2021 and 2022 in the area of corporate law.
Learn more about Sam by reading her bio.
DISCLAIMER
This document, which may be considered advertising under the ethical rules of certain jurisdictions, is provided with the understanding that it does not constitute the rendering of legal advice or other professional advice by Klavens Law Group, P.C. or its attorneys. Please seek the services of a competent professional if you need legal or other professional assistance.
© 2023 Klavens Law Group, P.C. All rights reserved.
MA Clean Energy Act Eases Path for Agrivoltaic Projects
On August 11, 2022, Governor Baker signed into law Chapter 179 of the Acts of 2022, An Act Driving Clean Energy and Offshore Wind (the “Clean Energy Act” or the “Act”). The Clean Energy Act builds upon the 2021 climate act, which set forth the Commonwealth’s climate goals including net zero emissions by 2050. One significant feature of the Act is its prioritization of agrivoltaic projects as an integral part of the Commonwealth’s renewable energy and climate change policy. Agrivoltaic projects, often referred to as “dual use” projects, involve installing elevated solar panels on farmland to enable the land under and around the panels to be farmed. The Act clarifies that an agrivoltaic project is to be treated as an agricultural use, meaning that the land can continue to be classified as agricultural land for property tax purposes and that the project is exempt from special permit requirements. The Act also creates a new commission to identify obstacles to agrivoltaic projects and strategies to overcome those obstacles.
/continue readingMA SJC Rules in Favor of Solar Project in First Appellate Decision on Solar Zoning Exemption
On June 2, 2022, the Massachusetts Supreme Judicial Court issued the first appellate decision interpreting the limited exemption for solar energy systems provided in Section 3 of the Massachusetts Zoning Act (MGL c. 40A, § 3, ¶ 9). In Tracer Lane II Realty, LLC v. City of Waltham, the Court determined that the City of Waltham’s prohibition of solar energy systems from the vast majority of its land area violated Section 3’s bar against unreasonable regulation of solar energy systems. Below, we provide a brief overview of the facts of the case, then flag the key takeaways of which solar project developers should be aware.
/continue readingMA AG Rejects Restrictive Solar Bylaw Amendment
The Massachusetts climate act contains provisions relating to net metering that could have a significant impact on solar development.
In what appears to be a first, and following a concerted effort by Klavens Law Group, the MA Attorney General has rejected elements of a municipal solar bylaw aimed at blocking commercial solar energy projects. In the past, the AG’s office has routinely approved local solar bylaws – often with a stern warning that under paragraph nine of MGL c. 40A, § 3 the municipality can’t apply the bylaw so as to prohibit or unreasonably regulate solar facilities except where necessary to protect public health, safety or welfare. In a March 21, 2022 decision, however, the MA Attorney General flatly rejected the Town of Wareham’s effort to amend its zoning bylaw to place harsh restrictions on the siting of large-scale ground mount solar energy facilities.
/continue reading