Conservative Group Fights Law Requiring Women On Corporate Boards

LOS ANGELES, CA — Last year California became the first state to pass a law mandating that women be represented on the boards of publicly traded corporations in California, but if a conservative nonprofit gets its way, the law will be invalidated.

Judicial Watch announced its lawsuit filed in Los Angeles Superior Court lawsuit Friday challenging the law. The law, signed by former Gov. Jerry Brown, requires that all such boards in the state include at least one woman by the end of this year. The requirements increase in two years, when boards with five or more members must have at least two women, and larger boards must have at least three. The lawsuit contends that this quota system is unconstitutional.

According to the Gender Diversity Index report, women made up just 21.3% of the board seats on Fortune 1000 companies in 2018. The same report found that in 2015, California had 95 Fortune 1000 companies, and 18 percent of their board seats were held by women.

Still, Judicial Watch doesn't see it as the government's place to mandate board representation.

"The legislation's quota system for female representation on corporate boards employees express gender classifications," according to the suit. "As a result, SB 826 is immediately suspect and presumptively invalid and triggers strict scrutiny review."

The suit claims that since the law is unconstitutional, "any expenditure of taxpayer funds or taxpayer-financed resources enforcing or otherwise carrying out the quota system is illegal."

The authors of the legislation, Sen. Hannah-Beth Jackson, D-Santa Barbara, and Senate President Pro Tem Toni Atkins, D-San Diego, defended the law.

"While I certainly respect the constitutional right of anyone to challenge the law in our courts, it is disappointing that this conservative right-wing group is more invested in spending thousands of dollars on a questionable lawsuit than supporting policy that improves business' profits and boosts our economy," Jackson said.

Atkins called the lawsuit an effort "to try to erode the landmark progress our state is making not only for women, but for business and our economy."

According to the state, the legislation applies to more than 500 corporations in California.

City News Service and Patch Staffer Paige Austin contributed to this report.