Frequently Asked Questions: Remedy Process

The FSC Remedy Framework entered into force in July 2023 to remedy the harms caused by conversion and unacceptable activities as well as to pave the way for organizations and other stakeholders to embark on a journey of healing and regeneration through a verified process. Organizations who implement the FSC Remedy Framework to address past harms undergo a remedy process.

Through this set of Frequently Asked Questions (FAQs), find out more about the remedy process and FSC’s role as a facilitator. 

Borneo, Indonesia
Christian Patrick Ricci and Mirko Sotgiu/ FSC Italy

General

  1. How does the FSC ensure that companies who wish to end their disassociation, remedy the harm they caused and demonstrate that no deforestation had taken place during the disassociation period?

    The company must conform with the requirements of the FSC Remedy Framework. This includes the identification and mapping of all conversion under the control of the corporate group since 1994 and requirements for monitoring if any further unacceptable activities are taking place within the disassociation period.

  2. What is FSC’s role in the implementation of the FSC Remedy Framework?

    FSC plays the role of a facilitator. The onus of fulfilling the remedy requirements stated in the FSC Remedy Framework lies with the remedy client, including the resolution of disputes and stakeholder grievances. As a facilitator, FSC ensures that Independent Assessors and Third Party Verifiers are qualified, well trained, operating free of conflict of interest, and with integrity. 

  3. When would FSC suspend or terminate a remedy process?

    Before suspending or terminating a remedy process, there are opportunities for the remedy client to make corrections. 

    1. Stakeholders and rightsholders can express their concerns via the Grievance Mechanism operated by the organization responsible for addressing the harms. 
    2. If the Third Party Verifier finds that the Independent Assessor or remedy client is not conforming to the requirements of the FSC Remedy Framework, they would issue Remedy Learning Requests to correct these non-conformities. (See section 31 of the FSC Remedy Framework). The responsible entity would have the opportunity to correct their actions to bring the remedy process back into conformance with the requirements. 
    3. FSC signs an agreement with the remedy client which holds the client to specific terms and sets out provisions as to when the MOU is breeched. 

    FSC would suspend or terminate a remedy process in certain cases. One example is if the TPV presents evidence to FSC that the remedy client has not corrected its actions. Another example is if FSC has clear and convincing evidence that the remedy client has breached the terms of their agreement with FSC via internal investigation or received via the process described in FSC-PRO-01-008 or FSC PRO-01-009. The principle in these procedures stating that “Disputes should always be addressed at the lowest level possible” applies to remedy processes, and therefore, in general, 1. and 2. explained above would be considered before FSC would take action to suspend or terminate the remedy process. 

Independent Assessors and Third Party Verifiers

  1. How does FSC ensure the independence of Third Party Verifiers?

    FSC approves Third Party Verifiers for each remedy case. Applicants must demonstrate their qualifications and expertise and complete the FSC conflict of interest declaration form. If they are selected for the case, they sign a legal contract ensuring no conflicts of interest and agree to keep FSC apprised of any emerging conflicts during the contract. The FSC Remedy Framework also specifies that the Third Party Verifier and certification body are separate entities prior to the certification stage, i.e. when carrying out remedy.

  2. What measures are in place to address potential conflicts of interest in the appointment of consultants, such as Third Party Verifiers, Independent Assessors, for the remedy process?

    When expressing interest to be considered by FSC as an Independent Assessor or Third Party Verifiers and enter the pool of experts the organization must submit a conflict of interest declaration for their organization which is reviewed by FSC for financial, managerial, familial, or mission related conflicts.  After an organization is admitted to the pool of experts, it must submit a conflict of interest declaration form for each member of the proposed team that will be working on a specific case before being contracted as an Independent Assessor or Third Party Verifier.

  3. At what point in the remedy process does the Independent Assessor engage with stakeholders and rights holders? How and when are the actions and assessments of the Independent Assessor verified?

    Remedy clients (companies), Independent Assessors (IA), and Third Party Verifiers (TPV) must conform to the requirements of the FSC Remedy Framework for a remedy process to be successful and lead to ending disassociation and/or certification. This includes the extensive requirements for stakeholder and right holder involvement The actions of the remedy client and independent assessor are verified by the Third Party Verifier. 
    Despite the uniform requirements, there is some flexibility in how the some of requirements are implemented. For example, depending on the landscape and scope of environmental and social harm, the methodologies for carrying out social and baseline assessments can vary. In cases involving disassociated companies, these methodologies must be verified by the Third Party Verifier. Variations in methodologies may include when and how the Independent Assessors approach stakeholders and rightsholders. Examples of this may include: 

    • Carrying out preliminary parts of the assessments using desktop research.
    • Carrying out preliminary assessments using GIS technology before making field visits.
    • Timing of field visits.
    • Methodology for consulting stakeholders and rightsholders.
    • The use of multiple contracted entities to divide the assessment of areas in diverse geographic and cultural areas.

    It would be expected that the TPV would verify reasonable methodologies, while inadequate methodologies that do not conform with the requirements of the FSC Remedy Framework would not be verified. There would be an opportunity for the IA to correct this before being submitted again for verification to the TPV. 
    There is some flexibility, but not total flexibility, as to exactly when the TPV can conduct verification and how the verification deliverables are grouped. If there are affected rights holders present in connection with the remedy process, FPIC rights must be verified before the process can move forward at certain stages. It is also logical that the baseline assessments must be verified before the concept note is verified, and in turn, the concept note must be verified before the Remedy Plan is verified. 

Remedy process updates

  1. How will reporting on the remedy process be handled, and what information will be made publicly available?

    The FSC Remedy Framework has specific requirements for information that must be made publicly available in all cases. This includes: 

    • Anti-corruption and anti-bribery commitment and measures; 
    • The approved Concept Note, excluding confidential information; 
    • Summary of all elements and components of the Remedy Plan, excluding confidential information; 
    • Summary of the Third Party Verifier monitoring reports; and 
    • Third Party Verifier findings in the case that the implementing organization or corporate group has not achieved association or certification. 

    Additional information must be made available in cases of non-conformity with the Policy for Association including: 

    • Independent monitoring of Policy for Association conformity; 
    • Annual summaries of the corporate group’s progress towards developing Remedy Plan(s) and implementing remedy of harm;
    • Summary descriptions of Core Dialogue Groups; 
    • Map methodology summaries and maps; and
    • A summary of the total area (including types of habitat) that needs to be remedied through restoration and conservation.
  2. How will stakeholders be involved in the remedy process, and what information will be disclosed to them?

    The FSC Remedy Framework includes extensive requirements for the involvement of different stakeholders and rightsholders in the remedy process. There are requirements about what information will be disclosed depending on the stakeholder and rightsholders’ level of engagement in the process and the step in the process.

  3. How will stakeholders get to know when a remedy client signs the remedy agreement with FSC and starts their remedy process?

    Stakeholders are requested to check the websites and press announcements issued by the remedy client on their respective websites and other communication channels. FSC is not obligated to publicly issue an announcement when a remedy agreement is signed. FSC will publish a remedy case page on its website when a new remedy agreement is signed with a remedy client. These remedy case pages are listed here: https://connect.fsc.org/current-cases/remedy-cases

Verification

  1. How does the FSC ensure that all environmental claims made in a company’s marketing and reporting during the remedy process are thoroughly vetted and verified to prevent greenwashing?

    There is specific information which must be made publicly available by the corporate group that is implementing the remedy process. The FSC Remedy Framework includes these reporting requirements. There are also requirements that the company must follow and agree to in a Memorandum of Understanding with FSC which limit what information the organization can share and how they can share it.

  2. What is the expected timeline for implementing the FSC Remedy Framework, what specific criteria will be used to evaluate whether the remedy is effective and how will progress be monitored?

    There is no one specific timeline for implementing the FSC Remedy Framework. The environmental and social harm that the organization is responsible for remedying can vary widely, as can the ecosystem in which the harm took place. The Remedy Plan includes a participatory process to select remedy actions, set indicators for success, and set timelines. The FSC Remedy Framework sets thresholds for when the organization can apply for association and/or certification. 
    In general, cases involving remedying according to the core and additional requirements will take longer than cases involving remedying according just to the core requirements. The initial Memorandum of Understanding between FSC and the organization lasts at least two years, but it would be expected to renew this agreement multiple times. Progress is monitored in various ways according to the requirements of the FSC Remedy Framework. This includes by the organization itself, by participatory processes with stakeholders and rightsholders, and by the Third Party Verifier.

  3. How does FSC ensure that a remedy client consults and engages with relevant stakeholders and rightsholders during an ongoing remedy process?

    FSC does not play a role in the planning or implementation of consultations and engagement activities with stakeholders and rightsholders according to the requirements pertaining to stakeholder consultation and engagement activities are outlined in the FSC Remedy Framework. The onus of fulfilling these requirements lies with the remedy client. Stakeholder consultation is an integral part of every remedy process and Third Party Verifiers are required to check if the required consultation and engagement activities have been carried out by the remedy client.

The Corporate Group

  1. How does FSC verify control relationships between different entities within a corporate group? What steps are being taken to ensure this process is rigorous and transparent?

    FSC has developed internal guidance for evaluating the nexus of control exercised between legal entities developed by FSC experts and external law firms.  FSC provides a list of all entities in the corporate group on each remedy case page which can be accessed here: https://connect.fsc.org/current-cases/remedy-cases

  2. What is FSC’s due diligence process to ensure that the scope of remedy for a corporate group (entities within the corporate group that are required to implement the remedy process) remains up-to-date and relevant?

    Prior to signing the remedy agreement with a corporate group, FSC receives a list of entities that fall within the scope of the remedy process. This list of entities is reviewed by FSC. Subsequently, as a part of FSC’s continuous due diligence process, a corporate group review is conducted for complex corporate groups and high-risk remedy clients before the remedy agreement is renewed after the first year. FSC also commissions corporate group reviews by external experts.

  3. What is the importance of having a complete list of entities that fall within the scope of the remedy process?

    In the beginning phases of the remedy process, an environmental and social baseline assessment is carried out. An Independent Assessor works with stakeholders and rightsholders to prioritize the harm. It is important to have a complete list of related entities to understand the scope of the environmental and social harm related to the unacceptable activities, and consequently, the remedy activities which will need to be included in the Remedy Plan.

  4. Does the FSC Remedy Framework also apply to suppliers of wood and forestry products to organizations implementing the Remedy Framework?

    The scope of the FSC Remedy Framework does not apply to suppliers of organizations implementing the remedy process. Through the remedy agreement that organizations sign with FSC to remedy unacceptable activities, they commit to no conversion in their supply chain.

Grievance redressal

  1. Is there an appeals process for stakeholders who disagree with the remedy decisions, and how can they participate?

    There are various ways for stakeholders to express disagreement with remedy decisions. The establishment of a grievance mechanism is open to affected stakeholders and their representatives. The grievance mechanism establishes a process through which grievances concerning business-related human rights abuse can be raised and remedy can be sought, following the criteria outlined in the UN’s Guiding Principles on Business and Human Rights (legitimate, accessible, predictability, equitable, transparency, rights compatible, continuous learning, engagement and dialogue).
    There are also requirements in the FSC Remedy Framework about how stakeholders and rightsholders must be consulted and how it must be verified that they are in agreement with the remedy process. Feedback about disagreement could be given at those points. 
    The FSC Remedy Framework also specifies that the FSC Dispute Resolution System may be used by stakeholders or other parties if they disagree with the findings or decisions of the Third Party Verifier.

  2. Who is responsible for managing the grievance mechanism in an ongoing remedy process?

    Each remedy client is responsible for managing the grievance mechanism for their respective remedy process. The information regarding the grievance mechanism of each remedy process is available on the respective remedy case page, which can be found on FSC’s website here. Each remedy client also provides a link to directly access the remedy process grievance mechanism on their websites.

Indigenous peoples and rightsholders

  1. What resources is FSC making available to help Indigenous Peoples and Local Communities gain the knowledge and capacity they need to participate meaningfully in the remedy process in actual cases?

    The FSC Remedy Framework contains a mandatory Annex with the elements and steps of the Right to Free, Prior and Informed Consent (FPIC) process which in its entirety shall be considered for developing and conducting FPIC processes. In addition, FSC will be working to co-create materials to support communication around FSC and the remedy procedures for Indigenous Peoples and Local Communities.

  2. How will the rights of Indigenous Peoples and legal and customary rights holders to FPIC be assured in remedy sites if these are outside original management units?

    Independent Assessors are responsible for interacting with affected rights holders and ensuring Free, Prior and Informed Consent (FPIC) is practiced in the remedy sites. Third Party Verifiers are responsible for verifying the practice of FPIC throughout the remedy process.