Can Climate Lawsuits Against Energy Giants Succeed? Courts Could Soon Give Clues
Lawsuits that aim to hold major players in the fossil-fuel industry responsible for climate change are entering a critical phase, as several state courts this fall are considering whether the cases can move forward. Several states including Delaware, Massachusetts, New Jersey and Rhode Island, and dozens of municipal governments, have accused the world’s largest energy companies of playing down the industry’s contributions to climate change. The lawsuits, some of which date to 2017, seek financial damages based on claims that range from public nuisance and negligence to consumer deception and racketeering.
The pool of cases continues to grow. California joined the fray Friday with a high-stakes suit that seeks billions in damages to cover state investments needed to combat climate-change effects such as erosion, flooding and fires. Shell, Exxon Mobil, BP, ConocoPhillips and Chevron are among those named as defendants in most of the cases.
The energy companies have tried, and largely failed, to keep the lawsuits out of state legal systems entirely. Now, courts are considering whether state and local governments have brought valid legal claims that deserve to go to trial. If judges say yes, the cases could become larger threats to the industry, potentially exposing their internal deliberations to public view and raising the specter of large damage awards that could eat into company profits.
On Tuesday, a Delaware superior court judge is set to hear the companies’ arguments seeking dismissal of a suit brought by the state. In New Jersey, a judge is considering whether to dismiss a lawsuit filed by the city of Hoboken. The Hawaii Supreme Court heard arguments last month on whether a case brought by the city of Honolulu could
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