Relating to the burden of proof in certain derivative proceedings.

HB 872 shifts the burden of proof in shareholder lawsuits challenging corporate decisions involving environmental, social, and governance (ESG) factors. If a shareholder sues alleging a corporation improperly considered ESG criteria, the corporation must prove the decision was in the company's best interest. This applies only to lawsuits filed on or after September 1, 2025, with pre-existing cases governed by prior law. The bill directly affects shareholders initiating derivative suits and corporations defending such claims.