A federal judge in Texas dismissed a lawsuit by Exxon Mobil Corp. against Arjuna Capital after a lawyer for the activist investor group vowed not to try to resurrect a shareholder policy opposed by the company.
The judge issued his order Monday hours after holding a hearing in the closely watched case over Exxon’s novel move to use the courts to keep environmental and social investor bids out of annual meetings. It’s part of a broader corporate pushback to the power wielded by the US Securities and Exchange Commission in the vetting of shareholder proposals.
An earlier request for dismissal by Arjuna was rejected.
“At base, the second time’s the charm for Arjuna, as its ‘unconditional and irrevocable’ pledge ensures Exxon the offending conduct won’t recur,” the judge wrote
An Exxon representative didn’t immediately respond to a request for comment.
