--- title: "CSDDD FAQ: scope, dates, duties, liability, and evidence" canonical_url: "https://www.sorena.io/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/items/page/2" source_url: "https://www.sorena.io/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/items/page/2" author: "Sorena AI" description: "Practical answers on CSDDD scope, current application dates, chain of activities, due diligence duties, complaints, remediation, civil liability, climate plans, and evidence." published_at: "2026-05-09" updated_at: "2026-05-09" keywords: - "CSDDD FAQ" - "Corporate Sustainability Due Diligence Directive" - "Directive (EU) 2024/1760" - "Directive (EU) 2025/794" - "CSDDD scope" - "chain of activities" - "due diligence" - "complaints procedure" - "remediation" - "civil liability" - "climate transition plan" - "CSDDD" - "EU Corporate Sustainability Due Diligence Directive" - "complaints" --- **[SORENA](https://www.sorena.io/)** - AI-Powered GRC Platform [Home](https://www.sorena.io/) | [Solutions](https://www.sorena.io/solutions) | [Artifacts](https://www.sorena.io/artifacts) | [About Us](https://www.sorena.io/about-us) | [Contact](https://www.sorena.io/contact) | [Portal](https://app.sorena.io) --- # CSDDD FAQ: scope, dates, duties, liability, and evidence Practical answers on CSDDD scope, current application dates, chain of activities, due diligence duties, complaints, remediation, civil liability, climate plans, and evidence. *FAQ Hub* *CSDDD* *EU* ## CSDDD FAQ scope, duties, dates, liability, and evidence Answers to the practical questions teams ask when turning the Corporate Sustainability Due Diligence Directive into an operating program. Use this hub to separate legal scope, chain-of-activities mapping, adverse-impact controls, complaints, remediation, climate planning, and proof records. Directive (EU) 2024/1760 creates a due diligence framework for very large EU and non-EU companies. The practical work is to decide whether the entity is in scope, when national rules apply, which operations and business partners sit inside the chain of activities, which adverse impacts need action, and which evidence will prove the program works. ## Browse sub-FAQ modules ### [CSDDD chain of activities boundaries: upstream and downstream FAQ](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/chain-of-activities-boundaries.md) FAQ on how the CSDDD defines chain of activities boundaries for subsidiaries, direct and indirect business partners, upstream activities, downstream logistics, and evidence. - 6 items ### [CSDDD civil liability under Article 29: what companies should check](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/civil-liability.md) FAQ on CSDDD Article 29 civil liability: liability conditions, protected legal interests, causation, compensation, limitation periods, and evidence disclosure. - 4 items ### [CSDDD complaints and notifications FAQ](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/complaints.md) FAQ on Article 14 CSDDD complaint and notification mechanisms, who may complain, follow-up rights, confidentiality, retaliation, and evidence. - 7 items ### [CSDDD contractual assurances FAQ for Articles 10 and 11](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/contractual-assurances.md) How CSDDD Articles 10 and 11 use contractual assurances with business partners, verification, SME support, action plans, and suspension or termination escalation. - 4 items ### [CSDDD franchising and licensing scope FAQ](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/franchising.md) FAQ on when franchise or licensing networks can fall within Article 2 of the EU CSDDD, including royalties, turnover, EU and non-EU treatment, and evidence. - 6 items ### [CSDDD non-EU turnover threshold FAQ](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/non-eu-turnover.md) How non-EU companies should assess CSDDD scope using EU-generated turnover, group thresholds, authorised representative records, and competent authority evidence. - 5 items ### [CSDDD Omnibus timing changes after Directive (EU) 2025/794](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/omnibus-current-date-changes.md) FAQ answer on current CSDDD Article 37 dates after Directive (EU) 2025/794 and how to separate adopted timing changes from proposal-stage Omnibus simplification. - 4 items ### [CSDDD prevention vs mitigation: potential and actual adverse impacts](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/prevention-vs-mitigation.md) CSDDD FAQ on when to prevent or mitigate potential adverse impacts, when to end or minimise actual adverse impacts, and what evidence records to keep. - 6 items ### [CSDDD remediation FAQ: when companies must remedy adverse impacts](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/remediation.md) FAQ on CSDDD remediation: when Article 12 requires remedy, how complaints and stakeholder engagement affect the response, and what evidence to keep. - 5 items ### [CSDDD risk prioritisation FAQ: severity, likelihood, and evidence](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/risk-prioritisation.md) How to prioritise CSDDD adverse impacts when teams cannot address everything at once, using severity, likelihood, stakeholder evidence, and a reviewable rationale. - 4 items ### [CSDDD scope waves: current Article 37 dates and thresholds](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/scope-waves.md) FAQ on the current CSDDD phase-in after Directive (EU) 2025/794: 26 July 2028, 26 July 2029, Article 2 scope thresholds, and evidence to retain. - 5 items ### [CSDDD transition plans FAQ: Article 22 climate plan requirements](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/transition-plans.md) FAQ on CSDDD Article 22 climate transition plans: targets, decarbonisation levers, investment and funding, governance, CSRD overlap, and evidence records. - 6 items ### [How CSDDD overlaps with OECD, UNGP, and ILO standards](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/oecd-ungp-and-ilo-overlap.md) FAQ on how OECD responsible business conduct guidance, the UN Guiding Principles, and ILO labour standards inform CSDDD due diligence without being the same legal instrument. - 5 items Browse all indexed questions: [/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/items](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/items.md) ## All FAQ items *Page 2 of 4. Showing 20 of 67 items.* ### [When do weak assurances escalate to suspension or termination under CSDDD?](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/contractual-assurances.md#when-do-weak-assurances-escalate-to-suspension-or-termination-under-csddd) *Module: [CSDDD contractual assurances FAQ for Articles 10 and 11](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/contractual-assurances.md)* Articles 10 and 11 put suspension and termination after engagement, action plans, assurances, and verification. If potential impacts cannot be prevented or adequately mitigated, Article 10 requires last-resort escalation: no new or extended relationship for the affected activities, temporary suspension with an enhanced prevention action plan where there is a reasonable expectation of success, or termination where severe potential impacts remain and the enhanced plan is not viable or fails. - Keep the original due-diligence finding and severity assessment. - Keep the prevention or corrective action plan, including timelines and improvement indicators. - Keep the contractual assurance text and any cascading assurances requested from partners. - Keep verification results, failed evidence requests, site or initiative findings, and partner responses. - Keep the enhanced action plan and the rationale for suspension, termination, or continued monitoring. - Keep the assessment of adverse impacts caused by suspension or termination, reasonable-notice records, and review notes. Sources for this answer: - [Directive (EU) 2024/1760 on corporate sustainability due diligence](https://data.europa.eu/eli/dir/2024/1760/oj/eng?ref=sorena.io) - Article 10(6) supports last-resort suspension or termination escalation for unresolved potential adverse impacts. - [Directive (EU) 2024/1760 on corporate sustainability due diligence](https://eur-lex.europa.eu/eli/dir/2024/1760/oj?ref=sorena.io) - Article 11(7) supports enhanced corrective action plans, suspension, termination, reasonable notice, and review for unresolved actual adverse impacts. ### [When can franchising or licensing bring a company into CSDDD scope?](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/franchising.md#when-can-franchising-or-licensing-bring-a-company-into-csddd-scope) *Module: [CSDDD franchising and licensing scope](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/franchising.md)* For EU companies, Article 2(1)(c) applies where the company, or the ultimate parent company of a group, has entered into franchising or licensing agreements in the Union with independent third-party companies. The agreements must be in return for royalties, must ensure a common identity, a common business concept, and uniform business methods, and the royalty and turnover thresholds must be met. - Check whether the agreements are franchising or licensing agreements in the Union with independent third parties. - Confirm that royalties, not only ordinary sales revenue or service fees, exceed EUR 22.5 million for the relevant financial year. - Confirm that net worldwide turnover exceeds EUR 80 million for the EU-company route. - Document whether the test is met by the company alone or by the group through its ultimate parent company. Sources for this answer: - [Directive (EU) 2024/1760 Article 2 scope](https://eur-lex.europa.eu/eli/dir/2024/1760/oj?ref=sorena.io) - Supports the Article 2(1)(c) franchise and licensing scope route for EU companies, including royalties and worldwide turnover thresholds. - [Directive (EU) 2024/1760 ELI text](https://data.europa.eu/eli/dir/2024/1760/oj/eng?ref=sorena.io) - Supports that franchise and licensing agreements can bring EU or non-EU companies into scope where royalty and turnover thresholds are met. ### [What do common identity, common business concept, and uniform business methods mean in practice?](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/franchising.md#what-do-common-identity-common-business-concept-and-uniform-business-methods-mean-in-practice) *Module: [CSDDD franchising and licensing scope](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/franchising.md)* Article 2 does not treat a bare trademark permission as enough. The franchise or licensing agreements must ensure all three network features: common identity, common business concept, and uniform business methods. - Common identity: brand, marks, get-up, domain, app, shopfront, signage, or customer-facing network presentation. - Common business concept: replicated commercial format, product or service model, pricing architecture, customer journey, or market proposition. - Uniform business methods: mandatory manuals, operating standards, procurement rules, training, inspections, technology, data, or quality controls. - Boundary note: keep evidence for negative conclusions as well as positive in-scope conclusions. Sources for this answer: - [Directive (EU) 2024/1760 Article 2 scope](https://eur-lex.europa.eu/eli/dir/2024/1760/oj?ref=sorena.io) - Supports the three required agreement features: common identity, common business concept, and uniform business methods. ### [How does the CSDDD treat EU and non-EU franchise or licensing networks differently?](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/franchising.md#how-does-the-csddd-treat-eu-and-non-eu-franchise-or-licensing-networks-differently) *Module: [CSDDD franchising and licensing scope](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/franchising.md)* The franchise/licensing route exists for both EU companies and third-country companies, but the turnover geography differs. For EU companies, Article 2(1)(c) uses net worldwide turnover above EUR 80 million. For third-country companies, Article 2(2)(c) uses net turnover of more than EUR 80 million in the Union. - EU company route: more than EUR 22.5 million royalties and more than EUR 80 million net worldwide turnover. - Third-country route: more than EUR 22.5 million royalties in the Union and more than EUR 80 million net turnover in the Union. - Group route: the same franchise/licensing test can apply where the ultimate parent company heads a group that meets the conditions. - Competent authority evidence: for third-country companies, keep the branch and EU-turnover analysis because Article 2 and Article 24 connect supervision to EU presence and Union turnover. Sources for this answer: - [Directive (EU) 2024/1760 Article 2 scope](https://eur-lex.europa.eu/eli/dir/2024/1760/oj?ref=sorena.io) - Supports the EU and third-country franchise/licensing routes and the different worldwide versus Union turnover tests. - [Directive (EU) 2024/1760 recitals 28 to 30](https://eur-lex.europa.eu/eli/dir/2024/1760/oj?ref=sorena.io) - Explains why third-country scope is based on Union turnover rather than an employee threshold. ### [Did Directive (EU) 2025/794 change the franchising scope test?](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/franchising.md#did-directive-eu-2025794-change-the-franchising-scope-test) *Module: [CSDDD franchising and licensing scope](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/franchising.md)* The grounded material shows Directive (EU) 2025/794 as an amendment to Directive (EU) 2024/1760 and shows the Article 37 timing changes in the consolidated text. It does not show a change to the Article 2 franchise/licensing thresholds or the three network features. - Use Article 2 to decide whether the franchise/licensing route is in scope. - Use Article 37 to schedule when national transposing measures apply to the relevant cohort. - Do not rely on old 2027 wave-one timing without checking the current consolidated text. - Do not describe 2025/794 as changing the franchise/licensing thresholds unless a source supports that exact change. Sources for this answer: - [Consolidated EUR-Lex status for Directive (EU) 2024/1760](https://eur-lex.europa.eu/eli/dir/2024/1760/oj?ref=sorena.io) - Grounding records Directive (EU) 2025/794 as an amendment and shows consolidated Article 37 timing for CSDDD application waves. - [European Commission CSDDD page](https://commission.europa.eu/business-economy-euro/doing-business-eu/sustainability-due-diligence-responsible-business/corporate-sustainability-due-diligence_en?ref=sorena.io) - Supports the public timing context that transposition is planned for 26 July 2027 with full application on 26 July 2029. ### [What evidence should a franchise or licensing group keep for a CSDDD scope review?](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/franchising.md#what-evidence-should-a-franchise-or-licensing-group-keep-for-a-csddd-scope-review) *Module: [CSDDD franchising and licensing scope](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/franchising.md)* Keep evidence that lets a reviewer recalculate Article 2 without interviewing the original deal team. The file should connect legal agreements, royalty accounting, turnover data, group structure, and the operational features of the network. - Agreement inventory: current franchise and licence agreements in the Union, counterparties, independence of the third parties, territory, effective dates, and renewal status. - Network-feature matrix: separate evidence for common identity, common business concept, and uniform business methods. - Royalty calculation: royalty definitions, ledger extracts, consolidation adjustments, currency treatment, and whether the EUR 22.5 million threshold is met. - Turnover calculation: worldwide turnover for EU companies or Union turnover for third-country companies, including group consolidation where relevant. - Parent-company analysis: whether the company itself or the ultimate parent company of a group meets the route. - Timing note: the Article 37 cohort and the national transposition status being monitored. - Change log: contract, brand, operating model, royalty, turnover, group, and EU-market changes that could alter the conclusion. Sources for this answer: - [Directive (EU) 2024/1760 Article 2 scope](https://eur-lex.europa.eu/eli/dir/2024/1760/oj?ref=sorena.io) - Supports the records needed to evidence Article 2 scope: agreement type, royalties, turnover, group status, and EU versus third-country treatment. - [Directive (EU) 2024/1760 Article 15 monitoring](https://eur-lex.europa.eu/eli/dir/2024/1760/oj?ref=sorena.io) - Supports keeping the scope conclusion under review when significant changes or new risk grounds arise. ### [What mistakes matter most for CSDDD franchising and licensing analysis?](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/franchising.md#what-mistakes-matter-most-for-csddd-franchising-and-licensing-analysis) *Module: [CSDDD franchising and licensing scope](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/franchising.md)* The most common mistake is treating every licence as in scope or every licence as out of scope. Article 2 asks a narrower factual question: does the agreement create the kind of controlled network described by common identity, common business concept, and uniform business methods, and are the royalty and turnover thresholds met? - Do not count every payment under a licence as royalties without checking the agreement and accounting treatment. - Do not ignore operating manuals, quality audits, training, technology mandates, or procurement standards when assessing uniform business methods. - Do not use worldwide turnover for a third-country company where Article 2 requires Union turnover. - Do not treat 2025 timing changes as a change to Article 2 thresholds unless the current legal text says so. - Do not leave negative scope conclusions undocumented; future expansions can make the same network in scope later. Sources for this answer: - [Directive (EU) 2024/1760 Article 2 scope](https://eur-lex.europa.eu/eli/dir/2024/1760/oj?ref=sorena.io) - Supports the distinction between the general scope route and the separate franchise/licensing scope route. - [Directive (EU) 2024/1760 ELI text](https://data.europa.eu/eli/dir/2024/1760/oj/eng?ref=sorena.io) - Supports the high-level scope summary for EU and non-EU companies, including the franchise/licensing thresholds. ### [Does worldwide turnover put a non-EU company in CSDDD scope?](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/non-eu-turnover.md#does-worldwide-turnover-put-a-non-eu-company-in-csddd-scope) *Module: [CSDDD non-EU turnover threshold](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/non-eu-turnover.md)* Not by itself. For companies formed under the law of a third country, Article 2 uses net turnover generated in the Union. A non-EU company is in scope if it generated more than EUR 450 million in net turnover in the Union in the financial year preceding the last financial year, or if it is the ultimate parent of a group that reached that Union threshold on a consolidated basis. - Start with legal formation: confirm the company is formed under non-EU law. - Calculate net turnover generated in the Union for the relevant financial year, separately from worldwide turnover. - Check whether the company itself, or the ultimate parent group on a consolidated basis, exceeds the EUR 450 million Union turnover threshold. - Separately test qualifying EU franchising or licensing arrangements for the EUR 22.5 million royalty threshold and the EUR 80 million Union turnover condition. Sources for this answer: - [Directive (EU) 2024/1760, Article 2 scope for third-country companies](https://eur-lex.europa.eu/eli/dir/2024/1760/oj?ref=sorena.io) - Article 2 states the non-EU company scope routes and uses net turnover generated in the Union for third-country companies. - [Consolidated Directive (EU) 2024/1760, Article 37 as amended by Directive (EU) 2025/794](https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=CELEX%3A02024L1760-20250417&ref=sorena.io) - The consolidated text records Directive (EU) 2025/794 as an adopted amendment and sets the current application dates for third-country companies. ### [Which financial years matter for a non-EU turnover analysis?](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/non-eu-turnover.md#which-financial-years-matter-for-a-non-eu-turnover-analysis) *Module: [CSDDD non-EU turnover threshold](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/non-eu-turnover.md)* Article 2 frames the non-EU threshold by reference to the financial year preceding the last financial year, and it says the Directive applies only if the scope conditions are met in two consecutive financial years. A useful scope file therefore should not contain a single annual sales number with no bridge to the statutory test. - Keep the calculation period explicit: financial year, preceding financial year, and whether the latest adopted or required financial statements support the numbers. - Preserve evidence that the Article 2 conditions were met or not met in two consecutive financial years. - For first-wave timing, identify whether Union net turnover exceeded EUR 900 million for the current Article 37 application rule. - For companies below the first-wave amount but still above the Article 2 scope threshold, record why the 26 July 2029 application date is the working date. Sources for this answer: - [Directive (EU) 2024/1760, Article 2 consecutive-year scope rule](https://eur-lex.europa.eu/eli/dir/2024/1760/oj?ref=sorena.io) - Article 2 provides that CSDDD applies only if the relevant scope conditions are met in two consecutive financial years. - [Consolidated Directive (EU) 2024/1760, Article 37 as amended by Directive (EU) 2025/794](https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=CELEX%3A02024L1760-20250417&ref=sorena.io) - Article 37 now sets 26 July 2028 for the first third-country company wave above EUR 900 million Union turnover and 26 July 2029 for other covered companies. ### [What should a non-EU company do if it appears to be in scope?](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/non-eu-turnover.md#what-should-a-non-eu-company-do-if-it-appears-to-be-in-scope) *Module: [CSDDD non-EU turnover threshold](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/non-eu-turnover.md)* If the Article 2(2) test is met, the company should prepare the governance and regulator-facing records that the Directive expects from third-country companies. Article 23 requires an authorised representative established or domiciled in a Member State where the company operates, accepted by that representative, and empowered to receive supervisory authority communications. - Identify EU branches and the Member State where each branch is located. - If there is no single-branch answer, rank Member States by Union net turnover for the relevant period. - Designate an authorised representative in a Member State where the company operates and keep the signed acceptance. - Record the representative's name, address, email address, telephone number, mandate, and notification trail to the supervisory authority. Sources for this answer: - [Directive (EU) 2024/1760, Article 23 authorised representative](https://eur-lex.europa.eu/eli/dir/2024/1760/oj?ref=sorena.io) - Article 23 requires covered third-country companies operating in a Member State to designate and empower an authorised representative. - [Directive (EU) 2024/1760, Article 24 supervisory authority for third-country companies](https://eur-lex.europa.eu/eli/dir/2024/1760/oj?ref=sorena.io) - Article 24 ties the competent supervisory authority for third-country companies to a branch location or, where relevant, the Member State of highest Union net turnover. ### [What evidence should support the scope decision?](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/non-eu-turnover.md#what-evidence-should-support-the-scope-decision) *Module: [CSDDD non-EU turnover threshold](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/non-eu-turnover.md)* A useful non-EU turnover file should let finance, legal, sustainability, and regional teams reproduce the conclusion without relying on memory. It should connect the legal entity and group perimeter to the Union turnover calculation, branch footprint, licensing arrangements, and authorised representative status. - Legal entity map showing the third-country company, subsidiaries, branches, and ultimate parent relationship. - EU net-turnover workbook by Member State, with source financial-system reports and reconciliation to financial statements. - Consolidated group-threshold analysis where Article 2(2)(b) could apply. - Franchising or licensing register showing EU royalties, common identity or business concept assumptions, and the EUR 22.5 million and EUR 80 million tests. - Two-year threshold history showing whether Article 2 conditions have been met or have ceased to be met. - Authorised representative appointment, acceptance, mandate, authority notifications, and any request to change competent supervisory authority after a turnover shift. Sources for this answer: - [Directive (EU) 2024/1760, Article 28 European Network of Supervisory Authorities](https://eur-lex.europa.eu/eli/dir/2024/1760/oj?ref=sorena.io) - Article 28 describes Member State cooperation and information exchange for assessing whether a third-country company meets Article 2 criteria. - [Directive (EU) 2024/1760, Article 5 due diligence documentation](https://eur-lex.europa.eu/eli/dir/2024/1760/oj?ref=sorena.io) - Article 5 requires companies to retain documentation and supporting evidence for actions taken to fulfil due diligence obligations. ### [What mistakes should teams avoid?](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/non-eu-turnover.md#what-mistakes-should-teams-avoid) *Module: [CSDDD non-EU turnover threshold](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/non-eu-turnover.md)* The main mistake is treating 'non-EU turnover' as a general sales concept. For CSDDD scope, the relevant question is Union-generated net turnover for a company formed under third-country law, plus any group or franchising/licensing route in Article 2. - Do not use global revenue as a substitute for Union net turnover for third-country company scope. - Do not ignore group-level consolidation where the company is an ultimate parent. - Do not skip the franchising and licensing route if EU royalties and common-brand operating models are material. - Do not assign the competent authority without checking branch locations and the Member State of highest Union net turnover. - Do not cite a 2025 Commission proposal as if it were the current timing rule; use the adopted consolidated Article 37 position. Sources for this answer: - [Directive (EU) 2024/1760, Article 2 third-country company scope](https://eur-lex.europa.eu/eli/dir/2024/1760/oj?ref=sorena.io) - Article 2 supports the distinction between worldwide turnover for EU companies and Union-generated turnover for third-country companies. - [Consolidated Directive (EU) 2024/1760, Article 37 as amended by Directive (EU) 2025/794](https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=CELEX%3A02024L1760-20250417&ref=sorena.io) - The consolidated text grounds the current Article 37 timing after Directive (EU) 2025/794. ### [What should teams do about CSDDD Omnibus timing changes?](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/omnibus-current-date-changes.md#what-should-teams-do-about-csddd-omnibus-timing-changes) *Module: [CSDDD Omnibus timing changes after Directive (EU) 2025/794](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/omnibus-current-date-changes.md)* Replace any pre-2025 CSDDD rollout calendar with the current Article 37 calendar shown in the consolidated EUR-Lex text. That text identifies Directive (EU) 2025/794 as an amendment to Directive (EU) 2024/1760 and sets the transposition deadline at 26 July 2027. - Use 26 July 2027 as the current Member State transposition deadline. - Use 26 July 2028 as the first application date for the Article 37 point (a) and point (b) company cohorts. - Use 26 July 2029 as the application date for the remaining Article 2 company cohorts covered by Article 37 point (c). - Do not describe proposal-stage simplification text as changing CSDDD duties, penalties, civil liability, stakeholder engagement, or climate-plan wording unless an adopted amendment source supports that exact change. Sources for this answer: - [Consolidated Directive (EU) 2024/1760 after Directive (EU) 2025/794](https://eur-lex.europa.eu/legal-content/EN/TXT/HTML/?uri=CELEX%3A02024L1760-20250417&ref=sorena.io) - Primary source for treating Directive (EU) 2025/794 as the adopted amendment to the current CSDDD Article 37 calendar. - [European Commission CSDDD page](https://commission.europa.eu/business-economy-euro/doing-business-eu/sustainability-due-diligence-responsible-business/corporate-sustainability-due-diligence_en?ref=sorena.io) - Commission page explaining that the Omnibus proposal goes to Parliament and Council and enters into force only after agreement and Official Journal publication. ### [Which CSDDD dates are current after Directive (EU) 2025/794?](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/omnibus-current-date-changes.md#which-csddd-dates-are-current-after-directive-eu-2025794) *Module: [CSDDD Omnibus timing changes after Directive (EU) 2025/794](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/omnibus-current-date-changes.md)* The current Article 37 timing is no longer the original 2024 schedule. Member States must adopt and publish national implementing measures by 26 July 2027. The first company application phase begins on 26 July 2028, and the broader phase follows on 26 July 2029. - 26 July 2027 cohort: Member State transposition deadline. - 26 July 2028 cohort: EU companies and parent companies in Article 2(1)(a) and (b) with more than 3,000 employees on average and more than EUR 900 million net worldwide turnover in the relevant financial year. - 26 July 2028 cohort: third-country companies in Article 2(2)(a) and (b) with more than EUR 900 million net turnover in the Union in the relevant financial year. - 26 July 2029 cohort: all other Article 2(1)(a) and (b), Article 2(2)(a) and (b), Article 2(1)(c), and Article 2(2)(c) companies listed in Article 37 point (c). - Article 16 communication track: financial years starting on or after 1 January 2029 for the 2028 cohorts, and on or after 1 January 2030 for the 2029 cohort. Sources for this answer: - [Consolidated Directive (EU) 2024/1760 after Directive (EU) 2025/794](https://eur-lex.europa.eu/legal-content/EN/TXT/HTML/?uri=CELEX%3A02024L1760-20250417&ref=sorena.io) - Article 37 provides the amended CSDDD transposition deadline, company application cohorts, and Article 16 financial-year exceptions. ### [What is still proposal-stage Omnibus material?](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/omnibus-current-date-changes.md#what-is-still-proposal-stage-omnibus-material) *Module: [CSDDD Omnibus timing changes after Directive (EU) 2025/794](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/omnibus-current-date-changes.md)* Do not merge the adopted timing change with the broader simplification proposal. The Commission CSDDD page describes the Omnibus proposal to simplify duties and reduce regulatory burden, but also states that it goes to the European Parliament and Council for consideration and adoption and that changes enter into force after co-legislator agreement and Official Journal publication. - Proposal-stage: simplification of due diligence duties and burden-reduction changes described in Omnibus I COM(2025)81. - Proposal-stage: changes discussed for stakeholder engagement, monitoring assessments, penalty wording, and civil liability. - Current adopted law for timing: the Article 37 dates shown in the consolidated Directive after Directive (EU) 2025/794. - Review control: keep a status column for each Omnibus item showing source, stage, adopted text if any, and the date the legal register was checked. Sources for this answer: - [European Commission CSDDD page](https://commission.europa.eu/business-economy-euro/doing-business-eu/sustainability-due-diligence-responsible-business/corporate-sustainability-due-diligence_en?ref=sorena.io) - Supports the distinction between the adopted timing amendment and the still-pending Omnibus simplification proposal. - [COM(2025)80 proposal postponing CSDDD application dates](https://commission.europa.eu/document/download/0affa9a8-2ac5-46a9-98f8-19205bf61eb5_en?filename=COM_2025_80_EN.pdf&ref=sorena.io) - Commission proposal source showing the stop-the-clock timing proposal that preceded the adopted Article 37 timing change. ### [What evidence should be kept for the timing update?](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/omnibus-current-date-changes.md#what-evidence-should-be-kept-for-the-timing-update) *Module: [CSDDD Omnibus timing changes after Directive (EU) 2025/794](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/omnibus-current-date-changes.md)* Keep evidence that proves the organization did not rely on outdated dates or treat pending proposals as adopted law. The file should let legal, sustainability, finance, procurement, and reporting teams see the same current schedule and the same proposal watch list. - Current-law source snapshot: consolidated Directive URL, check date, Article 37 extract, and the reference to Directive (EU) 2025/794. - Entity timing register: EU or third-country status, relevant Article 2 limb, employee average where applicable, net worldwide turnover or Union turnover, and assigned Article 37 cohort. - Article 16 note: whether the entity is in an Article 16 communication path and which financial-year start date controls. - Proposal watch list: Omnibus proposal item, affected control if adopted, source URL, legislative stage, owner, and next review date. - Change log: which internal calendars, supplier-program milestones, board papers, and reporting plans were updated from the old schedule to the current Article 37 schedule. Sources for this answer: - [Consolidated Directive (EU) 2024/1760 after Directive (EU) 2025/794](https://eur-lex.europa.eu/legal-content/EN/TXT/HTML/?uri=CELEX%3A02024L1760-20250417&ref=sorena.io) - Supports the evidence fields tied to Article 37 cohorts, Article 16 timing, and the current legal calendar. - [European Commission CSDDD page](https://commission.europa.eu/business-economy-euro/doing-business-eu/sustainability-due-diligence-responsible-business/corporate-sustainability-due-diligence_en?ref=sorena.io) - Supports keeping a separate watch list for pending Omnibus simplification items rather than applying them as adopted law. ### [What is the CSDDD difference between prevention and mitigation?](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/prevention-vs-mitigation.md#what-is-the-csddd-difference-between-prevention-and-mitigation) *Module: [CSDDD prevention vs mitigation: potential and actual adverse impacts](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/prevention-vs-mitigation.md)* Prevention is the first Article 10 objective for a potential adverse impact: stop the impact from occurring where possible. Mitigation is the Article 10 fallback where prevention is not possible or not immediately possible: reduce the likelihood, severity, or conditions that could allow the potential impact to occur. - Use Article 10 for potential adverse impacts identified under Article 8 and prioritised under Article 9. - Use prevention measures where the impact can still be avoided. - Use mitigation measures where avoidance is not possible or not immediately possible. - Use Article 11 corrective measures when the adverse impact already exists. - Record why the issue is treated as potential or actual before assigning controls. Sources for this answer: - [Directive (EU) 2024/1760 on corporate sustainability due diligence](https://eur-lex.europa.eu/eli/dir/2024/1760/oj/eng?ref=sorena.io) - Article 10 covers preventing or adequately mitigating potential adverse impacts; Article 11 covers bringing actual adverse impacts to an end or minimising their extent. - [EUR-Lex summary: corporate sustainability due diligence](https://eur-lex.europa.eu/eli/dir/2024/1760/oj?ref=sorena.io) - The EUR-Lex summary describes the CSDDD due diligence duty as addressing potential and actual human-rights and environmental adverse impacts. ### [How should a team classify a finding before choosing a response?](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/prevention-vs-mitigation.md#how-should-a-team-classify-a-finding-before-choosing-a-response) *Module: [CSDDD prevention vs mitigation: potential and actual adverse impacts](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/prevention-vs-mitigation.md)* Start with the Article 8 identification record. Map the company's own operations, subsidiaries, and relevant chains of activities, then decide whether the finding is a potential adverse impact or an actual adverse impact. If multiple impacts cannot be addressed at the same time, Article 9 requires prioritisation based on severity and likelihood. - Impact status: potential adverse impact or actual adverse impact. - Location: own operations, subsidiary, direct business partner, or indirect business partner in the chain of activities. - Involvement: caused by the company, caused jointly, or caused only by a business partner. - Priority: severity and likelihood when impacts cannot all be addressed fully at once. - Leverage: what influence the company has and what additional leverage can realistically be built. Sources for this answer: - [Directive (EU) 2024/1760 on corporate sustainability due diligence](https://eur-lex.europa.eu/eli/dir/2024/1760/oj/eng?ref=sorena.io) - Articles 8 and 9 require identification, assessment, mapping, in-depth assessment, and prioritisation of actual and potential adverse impacts. - [European Commission: corporate sustainability due diligence](https://commission.europa.eu/business-economy-euro/doing-business-eu/sustainability-due-diligence-responsible-business/corporate-sustainability-due-diligence_en?ref=sorena.io) - The Commission page summarises the core due diligence duty as identifying and addressing potential and actual adverse impacts in own operations, subsidiaries, and relevant business partners. ### [What measures belong in a prevention or mitigation plan?](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/prevention-vs-mitigation.md#what-measures-belong-in-a-prevention-or-mitigation-plan) *Module: [CSDDD prevention vs mitigation: potential and actual adverse impacts](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/prevention-vs-mitigation.md)* For potential adverse impacts, Article 10 lists measures that may be relevant depending on the circumstances. A prevention action plan is needed where the nature or complexity of the measures requires one, and it should include reasonable and clearly defined timelines plus qualitative and quantitative indicators for improvement. - Prevention action plan with timelines and indicators where needed. - Contractual assurances from direct business partners, supported by verification measures. - Operational investments, adjustments, upgrades, or infrastructure changes. - Changes to business plans, strategies, operations, purchasing practices, design, or distribution. - Targeted and proportionate SME support where needed in light of resources, knowledge, and constraints. - Collaboration with other entities where no other measure is suitable or effective. Sources for this answer: - [Directive (EU) 2024/1760 on corporate sustainability due diligence](https://eur-lex.europa.eu/eli/dir/2024/1760/oj/eng?ref=sorena.io) - Article 10 lists potential-impact prevention and mitigation measures, including prevention action plans, contractual assurances, investments, business changes, SME support, and collaboration. ### [What changes when the adverse impact is already actual?](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/prevention-vs-mitigation.md#what-changes-when-the-adverse-impact-is-already-actual) *Module: [CSDDD prevention vs mitigation: potential and actual adverse impacts](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/prevention-vs-mitigation.md)* Once the impact is actual, the response should be managed as Article 11 work. The first objective is to bring the impact to an end. If that cannot happen immediately, the company must minimise the extent of the impact, and Article 11 measures include neutralising the impact or minimising its extent, corrective action plans, contractual assurances, investments, operational changes, SME support, collaboration, and remediation where Article 12 applies. - State the factual evidence showing that the adverse impact has occurred or is occurring. - Define what would count as bringing the impact to an end. - If immediate ending is not possible, define what minimising the extent means in measurable terms. - Use a corrective action plan where needed, not a generic risk-control plan. - Assess remediation separately where the company caused or jointly caused the actual adverse impact. Sources for this answer: - [Directive (EU) 2024/1760 on corporate sustainability due diligence](https://eur-lex.europa.eu/eli/dir/2024/1760/oj/eng?ref=sorena.io) - Article 11 sets the actual-impact response, and Article 12 addresses remediation where a company caused or jointly caused an actual adverse impact. ## FAQ Pagination - Canonical index (page 1): [/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/items](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/items.md) - Page 1 rule: `/page/1` is intentionally not generated; use the canonical index markdown URL. - Current page: 2 of 4 Pages: [1](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/items.md) | [2](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/items/page/2.md) | [3](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/items/page/3.md) | [4](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/items/page/4.md) [Previous page](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/items.md) | [Next page](/artifacts/eu/corporate-sustainability-due-diligence-directive/faq/items/page/3.md) *Recommended next step* *Placement: after evidence section* ## Turn CSDDD answers into evidence Use the CSDDD FAQ to convert scope, chain-of-activities, impact, complaints, remediation, liability, and climate-plan decisions into traceable records. - [Open Research Copilot](/solutions/research-copilot.md): Answer CSDDD implementation questions with cited source material. - [Discuss CSDDD implementation](/contact.md): Review CSDDD scope, evidence, and operating-model gaps with Sorena. --- [Privacy Policy](https://www.sorena.io/privacy) | [Terms of Use](https://www.sorena.io/terms-of-use) | [DMCA](https://www.sorena.io/dmca) | [About Us](https://www.sorena.io/about-us) (c) 2026 Sorena AB (559573-7338). 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