Key facts
- Major oil companies have asked the US Supreme Court to block climate-related liability.
- ExxonMobil and Suncor Energy are involved in a case brought by Boulder, Colorado.
- The lawsuit accuses the companies of driving climate change and misleading the public about fossil fuel risks.
- Nearly 60 state and local governments have filed similar suits seeking billions of dollars.
- The Trump administration backed Exxon and Suncor, arguing federal law precludes Boulder's claims.
- The Supreme Court previously sided with energy companies on a procedural issue in a 2021 Baltimore case.
Major oil companies, including ExxonMobil and Suncor Energy, are once again seeking the US Supreme Court's intervention to dismiss climate change lawsuits. The case, set to be argued on the first day of the court's new term, could significantly impact dozens of similar suits filed by state and local governments against fossil fuel companies. These suits collectively seek billions of dollars in damages for alleged harms related to climate change and misleading public information about fossil fuel risks.
The Trump administration previously supported Exxon and Suncor, arguing that federal law preempts Boulder's claims. Attorneys involved in the case highlight the immense stakes, with potential implications reaching far beyond the two companies to thousands of others, as Boulder's claims could allow states to regulate conduct occurring outside their borders. Energy companies have historically had a strong track record before the Supreme Court in cases involving climate liability and federal environmental regulation, though a key setback occurred in 2007 when the court ruled greenhouse gases are air pollutants under the Clean Air Act.
In 2021, the Supreme Court sided with energy companies on a procedural issue concerning whether climate cases belong in state or federal court, a decision that aided companies in moving such cases to federal venues. The current dispute stems from a similar procedural issue, where the Supreme Court declined to hear the case in 2023, allowing it to return to state court. Justice Samuel Alito, who owns stock in some oil and gas companies, has recused himself from participating in the current dispute. Boulder's lawsuit, filed in 2018, accuses ExxonMobil and Suncor of misleading the public about the climatic effects of fossil fuels while continuing to promote and sell their products. The companies deny wrongdoing, and the plaintiffs are seeking unspecified monetary damages for costs associated with climate change, including infrastructure repairs and public health harms.