Biden Administration Urges SCOTUS to Pass on State-Level Climate Lawsuits Against Oil Companies

 December 14, 2024

The Biden administration's push to let states take on big oil companies over climate change through public nuisance claims has reached the U.S. Supreme Court, drawing sharp lines between federal authority and state rights.

The Biden Department of Justice has urged the Supreme Court not to intervene in two major climate lawsuits, potentially allowing states more control over regulating interstate emissions despite traditional federal oversight, as National Review reports.

The U.S. Supreme Court is facing a request from Biden's DOJ to let stand state-driven lawsuits targeting oil giants. These lawsuits seek to hold companies accountable for the environmental damages they allegedly caused by misleading the public about climate change.

Historically, such issues have been managed at the federal level, creating tensions about jurisdictional authority.

Honolulu vs. Oil Companies

In one pivotal case, the city of Honolulu has filed a lawsuit against oil industry titans such as Sunoco, Exxon Mobil, BP, Chevron, and Shell.

The allegation is straightforward: these companies misrepresented the impact of fossil fuels on climate change, leading to significant environmental harm. After the Hawaii Supreme Court sided against the oil corporations in November 2023, the companies have turned to the U.S. Supreme Court for reconsideration.

Oil companies argue the lawsuit oversteps traditional boundaries, potentially giving states the power to regulate matters typically under federal oversight. They highlight that interstate commerce and emissions are usually managed under federal law, emphasizing traditional federal purview over such multistate matters.

Solicitor General's Position

Solicitor General Elizabeth Prelogar, representing the administration, presented briefs indicating that the U.S. Supreme Court lacks jurisdiction over Hawaii's preliminary ruling. Furthermore, she suggested the Court should not engage in further review at this stage. Her stance supports the idea that federal law doesn’t inherently block states’ claims in regulating emissions.

In contrast, another lawsuit critiques actions by five Democrat-led states -- California, Connecticut, Minnesota, New Jersey, and Rhode Island -- as they take legal action against oil companies.

Nineteen Republican attorneys general have challenged these efforts, insisting that Democratic states shouldn’t regulate emissions crossing states’ borders. They claim such efforts are attempts to seize control over national energy policy.

Public Nuisance Lawsuits and Their Impacts

Public nuisance claims in these lawsuits target issues allegedly interfering with public rights. Proponents see them as potential catalysts for broader regulation across other industries, including firearms, plastics, and gasoline-powered vehicles.

However, critics warn these claims can open the doors to large financial settlements skewed toward benefiting trial lawyers, potentially pushing a political agenda.

Chief among the critics, O.H. Skinner described these lawsuits as a strategic financial windfall for lawyers supporting left-wing causes. He pointed out that they promise "a multi-billion-dollar flow" into the coffers of trial lawyers while reshaping the societal landscape.

Political and Legal Ramifications

Skinner argues, “Public nuisance cases are serving as tools to radically reshape American society.” His concerns reflect deeper tensions over whether such state-driven legal actions align with or defy federal priorities.

According to Prelogar, concerns that federal laws around air pollution automatically negate state claims lack merit. Still, the ramifications of these lawsuits could echo through legislative and political frameworks, redefining the balance between state initiatives and federal necessities.

Future of Cases at Issue

In a strategic play, the DOJ seeks a last push for its climate policy initiatives before the Trump administration takes office on January 20, 2024. Prelogar's filings are seen by some as a final attempt to solidify the Green New Deal efforts ahead of political transitions.

The Supreme Court, with a conservative majority, had requested input from the solicitor general on these cases during June and October of 2023. A decision on whether to pursue these cases could fundamentally shift how environmental accountability is enforced across the United States.

Tensions and Transitions

Critics such as Skinner suggest these actions are a gesture toward “trial lawyer backers” and environmental advocates as the Biden administration prepares for political change. The Supreme Court's forthcoming decision, expected in January 2024, will determine if these state-driven cases proceed, impacting regulatory control over the oil industry and environmental policy.

With the Biden administration pushing to uphold the power of trial lawyers and democratic states, the overall message is clear -- this succession of lawsuits might redefine legal strategies for climate accountability under varying levels of government.

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