US fossil fuel giants have long sought to shift litigation over industry harms from state to friendly federal courts, and the country’s top court unanimously handed polluters a big win on Friday, allowing such a move in a case centered on environmental damage in coastal Louisiana.
Cases can be removed from state court when they are against federal officers or persons “acting under” them, “for or relating to any act under color of such office.” Although the US Supreme Court has previously rejected multiple removals requested by Big Oil, the justices sided with the industry in Chevron USA v. Plaquemines Parish.
The company argued that its challenged production was sufficiently related to its contractual duties to refine crude oil into aviation gasoline, or avgas, for the US military during World War II. A federal district judge and the US Court of Appeals for the 5th Circuit rejected Chevron’s argument, but the high court bought it.
“Chevron has plausibly alleged a close relationship between its challenged conduct and the performance of its federal duties—not a tenuous, remote, or peripheral one,” Justice Clarence Thomas wrote for the majority. Justice Ketanji Brown Jackson penned a concurring opinion.
