The US Supreme Court has begun hearing arguments over whether states and local governments can sue major oil companies for damages linked to climate change, a case that could affect dozens of similar lawsuits across the country.
The dispute centres on a lawsuit filed by Boulder, Colorado, against ExxonMobil and Suncor Energy in 2018. Boulder accuses the companies of misleading the public about the risks of fossil fuels and seeks compensation for costs it says are linked to climate-related damage. The companies deny wrongdoing.
ExxonMobil and Suncor argue that federal law, including the Clean Air Act, prevents states from using their own laws to pursue claims over greenhouse-gas emissions. They warn that allowing the case to proceed could expose energy companies to potentially huge liabilities from lawsuits filed by local governments across the country.
Boulder argues that its case concerns damages under state law rather than an attempt to regulate national emissions. Colorado’s Supreme Court previously allowed the lawsuit to proceed in state court.
The case has drawn attention because nearly 60 state and local governments have filed similar climate-related lawsuits seeking damages from fossil-fuel companies. A Supreme Court ruling could determine whether many of those cases can move forward.
Justice Samuel Alito has recused himself from the case because of his financial interests in oil companies. That leaves open the possibility of a 4-4 decision, which would leave the Colorado ruling in place without creating a nationwide precedent.
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