Mainebiz

August 11, 2025

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W W W. M A I N E B I Z . B I Z 9 A U G U S T 1 1 , 2 0 2 5 The Association for Consulting Expertise (ACE) is a nonprofit association of independent consultants who value "success through collaboration." The public is welcome to attend its regular meetings to share best practices and engage with industry experts. For more information go to www.consultexpertise.com. Carrie Green Yardley, founder of Yardley Esq. PLLC, is an ACE board member, contributing writer to Mainebiz, and member of the ClimateWork Maine Sustainability Council. Her firm represents small business clients from formation through succession. Carrie can be reached at carrie@yardleyesq.com Becky Lizotte Becky Lizotte Principal, Doten's Construction Principal, Doten's Construction Celebrating Women in our Community We're proud to support Maine women-owned We're proud to support Maine women-owned businesses with products and services to help businesses with products and services to help your business grow. your business grow. Our experienced lenders are more than bankers — Our experienced lenders are more than bankers — they're problem solvers who will work with you to they're problem solvers who will work with you to design a commercial loan that's design a commercial loan that's right for you. right for you. Custom lending solutions are here Custom lending solutions are here for you — and so are we. Let's talk. for you — and so are we. Let's talk. 1-800-447-4559 | bathsavings.bank MEMBER FDIC MEMBER FDIC EQUAL HOUSING LENDER EQUAL HOUSING LENDER A S K AC E A n s w e r e d b y B y C a r r i e G r e e n Y a r d l e y , Y a r d l e y E s q . P L L C Q: We plan to feature our supply-chain sustainability commitments in marketing. Do we need to update our vendor contracts? ACE advises: As more companies embrace sustain- ability, their commitments increasingly extend beyond internal operations and into their supply chains. This shift has legal consequences — particularly in how supplier contracts are negotiated, drafted, and enforce Businesses are beginning to tie environmental, social and governance (ESG) standards directly into vendor agreements. These may include requirements around carbon emissions reporting, or use of recycled or ethically sourced materials. or labor practices. While these clauses reflect genuine sustainability goals, they must also be clearly defined and legally enforceable. Vague language such as "sustainable sourcing" or "eco-friendly operations" can create confusion or lead to disputes. Instead, contracts should include specific, measurable benchmarks — such as compliance with ISO 14001 environmental standards or adherence to defined emissions thresholds. Companies should also consider including audit rights, reporting obligations, and remediation timelines. For instance, a contract might require quarterly sustain- ability disclosures or allow for third-party verification. In some industries, failure to meet ESG terms may trigger penalties or even termination of the agreement. However, businesses must be careful not to overpromise or impose standards they don't Clauses that look impres- sive on paper but go unmonitored can expose a company to accusa- tions of greenwashing. In short, as sustain- ability becomes a competitive imperative, supplier contracts are becoming strategic legal tools. Aligning these agreements with your environmental values — while ensuring legal clarity and enforceability — is key to minimizing risk and maintaining credibility. Vague language can create confusion or lead to disputes

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