The duty of vigilance is a comprehensive legal approach aimed at better regulating the environmental and social impacts of large companies. After several European jurisdictions have chosen, in recent years, to strengthen the regulatory framework for companies established on their territory, the European Union (EU) is now introducing a new framework for business practices within its commercial sphere. A new vote on the Corporate Sustainability Due Diligence Directive (CSDDD) took place in November. This vote, held amid considerable political tension, represented a partial reconsideration of the ambitious objectives of the European sustainability strategy that EU institutions have been pursuing since 2020.

The duty of vigilance approach

The duty of environmental and social vigilance is based on a set of measures aimed at identifying, preventing and remedying serious violations with impacts on human rights, fundamental freedoms, health, personal safety and the environment.

Under this approach, a company is required to be proactive in mapping the risks associated with its entire value chain in order to prevent potential harm and damage. This approach also acknowledges the highly globalized nature of value chains and requires companies to have in-depth knowledge not only of their own activities, but also of those of their subsidiaries, suppliers, subcontractors and any other business partners with whom they have an established working relationship.

The influence of international discussions

Often used as an example, the French approach to the duty of vigilance remains one of the most comprehensive in recent years. Despite certain limitations identified by legal doctrine, the legislator has sought to implement the key principles promoted by numerous international organizations—such as the United Nations Guidelines, the Guidelines of the Organisation for Economic Co-operation and Development (OECD) and the work of the International Labour Organization (ILO)—in order to create a more protective framework for stakeholders interacting with large companies established in France and meeting the criteria set by the law.

Introduced in France with Law No. 2017-399 on the duty of vigilance of parent companies and contracting companies (Loi n° 2017-399 relative au devoir de vigilance des sociétés mères et des entreprises donneuses d’ordre), vigilance plans are a cornerstone of the vigilance system. Produced annually, these vigilance plans must show the ability of the companies concerned to identify risks and implement preventive measures to avoid serious harm on stakeholders and the environment.

The duty of vigilance also represents the desire to transcribe into positive law the expectations of a civil society that is increasingly concerned about climate risks, the protection of communities and the preservation of ecosystems. This approach differs from soft law frameworks, which are not binding.

Aside from clarifying the companies’ obligations, the establishment of a system of penalties for non-compliance is another key element of the vigilance mechanism. In France, the legislator has opted for a liability system that allows aggrieved stakeholders to hold the company liable on the basis of a breach of its vigilance plan. This provision is intended to help strengthen the accountability of French companies with regard to their international impact.

Progress at the European Union level

On the European scene, the CSDDD Directive will also impose stricter obligations, not only on EU companies, but also on foreign companies that meet specific criteria. This determination to assert the extraterritorial reach of European law reflects the EU authorities’ approach of seeking to compel all companies operating in the single market—one of the largest in the world—to comply with its regulations, values and objectives. This new duty of vigilance regulation is part of the European Green Deal, which aims to ensure the continent’s sustainability and carbon neutrality by 2050. Although the European Parliament vote in November 2025 resulted in a major revision of the directive’s text, significantly restricting the scope of some obligations included in earlier versions of the text, the adoption of the directive remains a development that Canadian stakeholders should monitor closely.

Perspectives in Canada and Québec

In Canada, despite a significant delay in regulating some sectors, several reflections and discussions are underway, which could lead to a strengthening of the existing legal framework. Improving existing texts and clarifying some of the obligations, especially those related to fiduciary duty, would help companies be better prepared while supporting efforts toward ecological and social transition.

Québec, meanwhile, may be fertile ground for renewed reflection on the duty of environmental and social vigilance. Given its unique cultural context, dual legal influences and strong contemporary expectations in terms of sustainability, the province could be a driving force in developing proposals to ensure greater corporate accountability in Canada.

Following our recent research, several avenues are put forward to begin work without delay on Québec’s environmental and social duty of vigilance. One of the avenues identified is the creation of a Monitoring Centre, a real space for dialogue between various actors (civil society, trade unions, academics, companies, etc.) that could systematize the available information and propose improvements in the practices of corporate stakeholders in the province. Additionally, launching a major doctrinal project that would facilitate a rethinking of the social and environmental responsibility of companies in the context of an exacerbated climate crisis represents a key step toward modernizing our law. Improvements could include a renewed civil liability system, a more effective access to justice for affected communities, and a revision of legislation to include social and environmental imperatives as considerations of higher public interest that must guide all decisions.