Lawsuits brought by municipalities seeking to hold energy companies accountable for climate change have been allowed to move forward by the Supreme Court on Monday in what is a loss for business interests.
Oil company appeals in five cases involving claims brought by cities and municipalities in Colorado, Maryland, California, Hawaii and Rhode Island was turned down by the court as it seeks to ensure businesses are held accountable for their contribution to climate change.
The cities and the oil companies are contesting whether the lawsuits should be heard in state court instead of federal court. Litigants care because of the widely held view that plaintiffs have better chances of winning damage awards in state courts.
“Big Oil companies have been desperate to avoid trials in state courts, where they will be forced to defend their climate lies in front of juries, and today the Supreme Court declined to bail them out,” Richard Wiles, the president of the environmental group Center for Climate Integrity was quoted as saying.
Business groups have been left disappointed with the pronouncement, with Phil Goldberg, a lawyer with the National Association of Manufacturers’ legal arm, saying climate issues should be dealt with at the national or international levels.
“The challenge of our time is developing technologies and public policies so that the world can produce and use energy in ways that are affordable for people and sustainable for the planet. It should not be figuring out how to creatively plead lawsuits that seek to monetize climate change and provide no solutions,” he said.
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The Biden administration urged the court not to hear the case, and in a change to the legal position taken by the Trump administration, it said the lawsuit and others like it should be heard in state courts.
In all five cases where the municipalities claimed to have been harmed by the effects of climate change caused by carbon emissions that the oil companies are heavily responsible for, BP, Chevron, Shell and other companies had lost in lower courts.
In an earlier case, the Supreme Court in 2021 ruled in favor of oil companies on a procedural issue in a similar lawsuit brought by the city of Baltimore.
On a separate legal issue, the court in a major ruling last year limited the Environmental Protection Agency’s authority to address climate change under a provision of the Clean Air Act.
Story was adapted from NBC.