Amicus Curiae Brief — American Petroleum Institute, et al., Petitioners v. Minnesota
Supreme Court briefSep 21, 2023
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No. 23-168
IN THE
Supreme Court of the United States
______________________
AMERICAN PETROLEUM INSTITUTE, ET AL.,
Petitioners,
v.
MINNESOTA,
Respondent.
______________________
On Petition for a Writ of Certiorari to the United
States Court of Appeals for the Eighth Circuit
_______________
BRIEF OF AMICUS CURIAE THE NATIONAL
ASSOCIATION OF MANUFACTURERS
IN SUPPORT OF PETITIONERS
_______________
Michael A. Tilghman II
THE NAM LEGAL CENTER
733 10th Street, N.W.
Suite 700
Washington, D.C. 20001
September 21, 2023
Philip S. Goldberg
Counsel of Record
SHOOK, HARDY &
BACON L.L.P.
1800 K Street, N.W.
Suite 1000
Washington, D.C. 20006
(202) 783-8400
pgoldberg@shb.com
i
TABLE OF CONTENTS
Page
TABLE OF AUTHORITIES .................................. ii
INTEREST OF AMICUS CURIAE ....................... 1
INTRODUCTION AND
SUMMARY OF ARGUMENT .......................... 2
ARGUMENT .......................................................... 6
I.
THE COURT SHOULD UPHOLD ITS
RULING IN AMERICAN ELECTRIC
POWER THAT CLIMATE CHANGE
CLAIMS INVOKE FEDERAL COURT
JURISDICTION ......................................... 6
II. THE LOWER COURT’S RULING
PROVIDES A PLAYBOOK FOR
PEOPLE SEEKING TO ABROGATE
FEDERAL AUTHORITY ........................... 9
III. MERELY PASTING STATE LAW
LABELS ON FEDERAL LAW CLAIMS
SHOULD NOT BE A MEANS FOR
EVADING FEDERAL SCRUTINY ........... 13
IV. THE COURT SHOULD AFFIRM THAT
CLAIMS ALLEGING HARM FROM
CLIMATE CHANGE RAISE
UNIQUELY FEDERAL INTERESTS....... 16
CONCLUSION ....................................................... 20
ii
TABLE OF AUTHORITIES
Cases
Page
American Electric Power Co. v. Connecticut,
564 U.S. 410 (2011).................................... 2, 4, 6, 7
City of New York v. Chevron Corp.,
993 F.3d 81 (2d Cir. 2021) ..................... 3, 4, 14, 16
City of Oakland v. BP P.L.C.,
325 F. Supp. 3d 1017 (N.D. Cal. 2018) ........... 3, 14
Comer v. Murphy Oil USA, Inc.,
718 F.3d 460 (5th Cir. 2013) ............................. 3, 8
Fry ex rel. E.F. v. Napoleon Cmty. Schs.,
137 S. Ct. 743 (2017)............................................ 15
Illinois v. City of Milwaukee,
406 U.S. 91 (1972).................................................. 6
Minnesota v. American Petroleum Inst.,
63 F.4th 703 (8th Cir. 2022) ...................... 4, 15, 18
Native Village of Kivalina v. ExxonMobil Corp.,
696 F.3d 849 (9th Cir. 2012) ............................. 2, 8
Rivet v. Regions Bank of Louisiana,
522 U.S. 470 (1998).............................................. 15
United States v. Standard Oil Co. of Cal.,
332 U.S. 301 (1947)................................................ 7
Watson v. Philip Morris Cos.,
551 U.S. 142 (2007).............................................. 15
iii
West Virginia v. Environmental Prot. Agency,
142 S. Ct. 2587 (2022)............................................ 3
Other Authorities
Amicus Brief of Indiana and Fourteen Other
States in Support of Dismissal, City of Oakland v. BP (9th Cir. filed April 19, 2018) ............ 18
Brief for the Tennessee Valley Authority,
American Electric Power Co. v. Connecticut
(filed Jan. 31, 2011) ............................................. 14
Julia Caulfield, Local Lawsuits Asks Oil and
Gas to Help Pay for Climate Change,
KOTO, Dec. 14, 2020 ........................................... 11
City of Hoboken Press Release, Hoboken Becomes
First NJ City to Sue Big Oil Companies, American Petroleum Institute for Climate Change
Damages, Sept. 2, 2020 ....................................... 12
Zack Colman & Ben Lefebvre, Biden To Tap Oil
Reserves, Press Oil Sector To Hike Production,
Politico, Mar. 31, 2022 ......................................... 17
Brooks Dubose, Annapolis Sues 26 Oil
and Gas Companies for their Role in
Contributing to Climate Change,
Cap. Gazette, Feb. 23, 2021 ........................... 15-16
Editorial, Climate Lawsuits Take a Hit,
Wall St. J., May 17, 2021 .................................... 13
Ross Eisenberg, Forget the Green New Deal. Let’s
Get to Work on a Real Climate Bill, Politico,
Mar. 27, 2019 ....................................................... 20
iv
Editorial, Multnomah County’s Lawsuit
Filing Does Not Count as Governance,
The Oregonian, June 25, 2023 ............................ 19
Entire January Meeting Agenda at Rockefeller
Family Foundation, Washington Free Beacon,
Apr. 2016, at https://freebeacon.com/wpcontent/uploads/2016/04/Entire-Januarymeeting-agenda-at-RFF-1-1.pdf .......................... 10
Establishing Accountability for Climate Damages:
Lessons from Tobacco Control, Summary of the
Workshop on Climate Accountability, Public
Opinion, and Legal Strategies, Union of
Concerned Scientists & Climate Accountability
Inst. (Oct. 2012) ..................................................... 9
Ryan Fonseca, California Is Suing Big Oil,
Accusing Them of Climate Change ‘Deception,’
L.A. Times, Sept. 18, 2023................................... 19
Minnesota is Suing Climate Polluters: Why,
How and What’s Next?, Fresh Energy,
July 1, 2020 ..................................................... 12-13
Jennifer Hijazi, Oil Giants Fight Climate
Deception Suit at Hawaii Supreme Court,
Bloomberg Law, Aug. 18, 2023............................ 18
Kirk Herbertson, Oil Companies vs. Citizens:
The Battle Begins Over Who Will Pay
Climate Costs, EarthRights, Mar. 21, 2018 ........ 11
Clifford Krauss, As Western Oil Giants Cut
Production, State-Owned Companies Step
Up, N.Y. Times, Oct. 14, 2021 ............................. 17
v
Beyond the Courtroom, Manufacturers’
Accountability Project, at
https://mfgaccountability project.org/beyond-the-courtroom............................. 12
John O’Brien, Minnesota AG Sued for Info
on Employees Who Are Climate Change
Activists Paid by Bloomberg, Legal
Newsline, July 14, 2020....................................... 13
Dawn Reeves, As Climate Suits Keeps Issue
Alive, Nuisance Cases Reach Key Venue
Rulings, Inside EPA, Jan. 6, 2020 ...................... 11
Jerry Taylor & David Bookbinder, Oil Companies
Should be Held Accountable for Climate
Change, Niskanen Center, Apr. 17, 2018 ........... 11
Michael Thulen, Why Hoboken’s Climate
Change Lawsuit Is Bad for New Jersey,
NJBiz, Oct. 11, 2021 ............................................ 19
INTEREST OF AMICUS CURIAE 1
Amicus curiae is the National Association of
Manufacturers (“NAM”). The NAM is the largest
manufacturing association in the United States, representing small and large manufacturers in every
industrial sector and in all 50 states. Manufacturing
employs nearly 13 million men and women, contributes $2.91 trillion to the U.S. economy annually, has
the largest economic impact of any major sector, and
accounts for more than half of all private-sector research and development in the nation. The NAM is
the voice of the manufacturing community and the
leading advocate for a policy agenda that helps manufacturers compete in the global economy and create
jobs across the United States. 2
The NAM is dedicated to manufacturing safe, innovative and sustainable products that provide essential benefits to consumers while protecting human health and the environment. Climate change is
one of the most important public policy issues of our
time, and the NAM fully supports national efforts to
address climate change and improve public health
through appropriate laws and regulations. Developing new technologies to reduce greenhouse gas emissions, make energy more efficient, and modify infra1 Pursuant to Rule 37.6, counsel for amicus curiae certifies that
this brief was not authored in whole or in part by counsel for
any party and that no person or entity, other than amicus curiae, its members, or its counsel made a monetary contribution to
the preparation or submission of the brief. The parties received
timely notice of the intent of amicus curiae to file this brief.
2 To learn more about the NAM, including its Board members,
please see https://www.nam.org/about/ and
https://www.nam.org/about/board-of-directors/.
2
structures to deal with the impacts of climate change
has become an international imperative.
The NAM has grave concerns about this attempt
to create liability over sales of lawful, beneficial energy products essential to modern life through state
law. As the Court found in American Electric Power
Co. v. Connecticut, 564 U.S. 410 (2011), climate litigation plainly implicates federal questions and complex policymaking. State law claims against the energy sector cannot achieve these public policy objectives, and state courts are not the appropriate forums to decide these critical national issues. For
these reasons, the NAM has a substantial interest in
attempts by Respondent and local governments to
subject its members to unprincipled state liability for
harms associated with climate change.
INTRODUCTION AND
SUMMARY OF ARGUMENT
This case is part of a coordinated, national litigation campaign over global climate change and an unapologetic effort to circumvent this Court’s ruling in
American Electric Power Co. v. Connecticut, 564 U.S.
410 (2011) (hereafter “AEP”). In AEP, the Court addressed an earlier wave of this climate litigation
campaign. It held unanimously that the climate
claims there sounded in the federal common law and
that Congress displaced any such claims when it enacted the Clean Air Act. See id. at 424. The Ninth
and Fifth Circuits then dismissed versions of the
climate suits pending in their courts. See Native Village of Kivalina v. ExxonMobil Corp., 696 F.3d 849
3
(9th Cir. 2012) and Comer v. Murphy Oil USA, Inc.,
718 F.3d 460 (5th Cir. 2013). The law was settled. 3
As this brief will show, strategists behind this litigation campaign then began developing ideas for
circumventing the Court’s ruling. Lawyers involved
in this effort said they were looking for ways to repackage the litigation so their new lawsuits would
achieve comparable national goals sought in AEP,
but would appear different and appeal to parochial
interests of local courts to provide money to local
constituencies. So, they re-cast the federal public
nuisance claims for injunctive relief against the utilities in AEP initially as state public nuisance lawsuits
for state or local abatement funds against energy
manufacturers, and have added several other state
law claims including the consumer protection act
claims invoked here. Since 2017, more than two dozen of these suits have been filed in carefully chosen
state jurisdictions around the country.
On the few occasions where federal courts have
reached the substance of these claims, they have
properly applied AEP and concluded that the claims
arise under federal common law and are displaced.
See City of New York v. Chevron Corp., 993 F.3d 81,
91 (2d Cir. 2021); City of Oakland v. BP P.L.C., 325
F. Supp. 3d 1017 (N.D. Cal. 2018) (vacated pursuant
to an order to remand the case to state court, see 960
F.3d 570 (9th Cir. 2020)). What has become clear is
that the state law packaging for these claims is solely a veneer. As the Second Circuit stated, the lawsuits seek to subject a handful of energy companies
3 The Court reaffirmed AEP in West Virginia v. Environmental
Prot. Agency. See 142 S. Ct. 2587, 2613 (2022); see also id. at
2636 (Kagan, J., dissenting).
4
to state liability “for the effects of emissions made
around the globe over the past several hundred
years.” City of New York, 993 F.3d at 92. It concluded
that this type of “sprawling case is simply beyond the
limits” of state liability law, id., echoing the Court’s
sentiment in AEP that this litigation raises issues of
“special federal interest.” 564 U.S. at 424.
Accordingly, the linchpin for this litigation campaign is the ability of the plaintiffs to avoid the federal judiciary. When the companies removed the cases to federal courts, the plaintiffs developed two particularly novel theories that they argue ties the
hands of federal courts and requires them to remand
the cases to state courts—even when, as here, a substantive review of the claims would find the claims to
be necessarily and exclusively governed by federal
law. First, the plaintiffs assert the claims become viable under state law and un-removable when Congress exercises its authority and displaces the federal
common law by speaking directly to the federal law
question at issue—a notion the Second Circuit called
“too strange to seriously contemplate.” City of New
York, 993 F.3d at 98-99. Second, the plaintiffs argue
that, under the well-pleaded complaint rule, federal
courts are not permitted to look behind the veneer of
the claims’ state law labels even when the labels are
clearly masking federal law claims.
Here, the Eighth Circuit concluded it was obligated to affirm the remand order because plaintiffs pled
these allegations under a state law coating. See Minnesota v. American Petroleum Inst., 63 F.4th 703, 709
(8th Cir. 2022). It stated it was hamstrung by its understanding of the well-pleaded complaint rule, as
well as the question of “whether, and to what extent,
5
th[e] area of federal common law” over transboundary greenhouse gas (GHG) emissions exists due to
Congress’s displacement under the Clean Air Act. Id.
at 710. Although the concurrence agreed with these
interpretation of law, it urged the Court to grant certiorari, stating this litigation clearly raises “interstate disputes” and should not be un-removable
merely because Minnesota chose to wage this dispute
“through the surrogate of a private party as the defendant.” Id. at 719-20 (Stras, J., concurring).
In addition to implicating a split with the Second
Circuit, the ruling below created a playbook for using
state courts to usurp federal law on climate change
and other federal issues. The exclusive federal nature of climate policy, in particular, has been on display in recent years. State law rulings making the
production, sale, promotion and use of oil and gas a
liability-inducing event for the American, Canadian,
and European energy companies named in these cases would directly contradict the federal government’s
efforts to encourage an increase in their production
in order to reduce costs and enhance America’s and
Europe’s energy security given the war in Ukraine.
For these reasons, as discussed in more detail below, amicus respectfully requests that the Court
grant the Petition and vacate the order to remand
these federal law issues to state court.
6
ARGUMENT
I.
THE COURT SHOULD UPHOLD ITS
RULING IN AMERICAN ELECTRIC
POWER THAT CLIMATE CHANGE
CLAIMS INVOKE FEDERAL COURT
JURISDICTION
The Court should grant the Petition to reinforce
the principle that climate litigation raises issues of
“special federal interest.” AEP, 564 U.S. at 424. In
AEP, the Court explained that federal common law
addresses subjects “where the basic scheme of the
Constitution so demands,” including “air and water
in their ambient or interstate aspects.” Id. at 422
(quoting Illinois v. City of Milwaukee, 406 U.S. 91,
103 (1972)). This rule of law applies to the claims
here in equal force as it did in AEP.
The factual foundation in AEP is the same here:
global climate change is caused by GHG emissions
“naturally present in the atmosphere and . . . emitted
by human activities,” including the use of fossil fuels
all over the world. Id. at 416. GHG emissions from
fossil fuels have combined with other global sources
of GHGs and have accumulated in the earth’s atmosphere for more than a century since the industrial
revolution and are creating impacts on the earth. “By
contributing to global warming, the plaintiffs asserted, the defendants’ carbon-dioxide emissions created
a ‘substantial and unreasonable interference with
public rights,’ in violation of the federal common law
of interstate nuisance, or in the alternative, of state
tort law.” Id. at 418. Here, the allegations are also
that Petitioners contributed to global warming by
causing or contributing to GHG emissions through
the production, marketing, and sale of their fuels.
7
In AEP, the Court followed the two-step analysis
from United States v. Standard Oil Co. of Cal., 332
U.S. 301 (1947), in dismissing the claims. First, the
Court determined the claims arose under federal
common law and that “borrowing the law of a particular State would be inappropriate.” AEP, 564 U.S. at
422. As Standard Oil instructs and affirmed in AEP,
certain claims invoke the “interests, powers, and relations of the Federal Government as to require uniform national disposition rather than diversified
state rulings.” Standard Oil, 332 U.S. at 78. Determining rights and responsibilities for global climate
change is one of them. As the Court stated, the production, sale, promotion, and use of fossil fuels as
well as global GHG emissions raise inherently federal questions, including over national security.
Second, and only after determining the claims
arose under federal common law, did the Court hold
Congress displaced through the Clean Air Act remedies that might be granted under federal common
law. See AEP, 564 U.S. at 425. Only the initial inquiry—whether the subject requires a uniform federal rule—goes to jurisdiction and is before this Court
at this time. Any conclusion that because Congress
spoke on this issue through the CAA and made the
EPA the governing authority over GHG emissions
that it somehow undermines the federal nature of
this case is nonsensical and should be reviewed.
Congress’s decision to displace federal common
law in favor of federal regulatory authority does not
make GHG emissions any less of a federal issue. To
the contrary, as this Court did in AEP, federal courts
should assess whether the claims at issue arose under federal common law before considering the im-
8
pact of displacement. Thus, any assertion that federal common law displacement impacts jurisdiction is
entirely misplaced and should be corrected.
At the time AEP was decided, two other climate
cases were pending against the energy sector. An
Alaskan village was suing many of the same energy
producers as here under federal law for damages related to rising sea levels. See Kivalina, 696 F.3d at
849. In Mississippi, a purported class of homeowners
sued a multitude of energy producers under state
tort law for property damage from Hurricane Katrina. See Comer, 718 F.3d at 460. The allegations were
that defendants, through their conduct and products,
caused certain emissions which contributed to climate change and made the hurricane more intense.
See id. These cases parallel the case at bar as Minnesota also alleges that the defendants’ conduct and
products caused or exacerbated emissions.
After AEP, both cases were dismissed. As the
Ninth Circuit explained, even though the legal theories in Kivalina differed slightly from AEP, given the
Court’s message, “it would be incongruous to allow
[such litigation] to be revived in another form.” Kivalina, 696 F.3d at 857. Climate suits alleging harm
from GHG emissions across the country and globe
are exactly the sort of “transboundary pollution”
claims the Constitution exclusively commits to federal law. Id. at 855. This is true regardless of how
the suits are packaged—over energy use or products,
by public or private plaintiffs, under federal or state
law, or for injunctive relief, abatement, damages or
other financial penalties.
The Court should grant the Petition because the
ruling below conflicts with AEP, namely that claims
9
over the effects of climate change implicate uniquely
federal interests and are governed by federal law.
II. THE LOWER COURT’S RULING
PROVIDES A PLAYBOOK FOR
PEOPLE SEEKING TO ABROGATE
FEDERAL AUTHORITY
The advocacy groups and lawyers behind this litigation campaign have explicitly stated that they developed the litigation strategy employed in this case
to circumvent this Court’s ruling in AEP. In 2012,
the year after AEP was decided, they convened in
California to brainstorm on how to re-package the
litigation in hopes of using the cases to achieve their
national policy priorities. Organizers of the conference published their discussions. See Establishing
Accountability for Climate Damages: Lessons from
Tobacco Control, Summary of the Workshop on Climate Accountability, Public Opinion, and Legal
Strategies, Union of Concerned Scientists & Climate
Accountability Inst. (Oct. 2012). 4
They said, despite the Court’s clear pronouncements in AEP, they still believed “the courts offer the
best current hope” for imposing their national public
policy agenda over fossil fuel emissions. Id. at 28.
They discussed “the merits of legal strategies that
target major carbon emitters, such as utilities [as in
AEP], versus those that target carbon producers.” Id.
at 12. They talked through causes of action, “with
suggestions ranging from lawsuits brought under
public nuisance laws,” “to libel claims.” Id. at 11.
4 https://www.ucsusa.org/sites/default/files/attach/2016/04/
establishing-accountability-climate-change-damages-lessonstobacco-control.pdf.
10
Given AEP in particular, they emphasized making
the lawsuits look like traditional damages claims rather than directly asking a court to regulate emissions or put a price on carbon use. See id. at 13. As
one person at the conference said, “Even if your ultimate goal might be to shut down a company, you
still might be wise to start out by asking for compensation for injured parties.” Id.
They also discussed “the importance of framing a
compelling public narrative,” including “naming [the]
issue or campaign” in an effort to generate “outrage.”
Id. at 21, 28. At a follow-up session in 2016, they explained that “creating scandal” through lawsuits
would also help “delegitimize” the companies politically. Entire January Meeting Agenda at Rockefeller
Family Foundation, Wash. Free Beacon, Apr. 2016. 5
They have since tried to scandalize the fact that
companies knew about potential risks of climate
change—something widely known by governments
around the world—and still produced fossil fuels.
To name the litigation, supporters asserted some
widespread “campaign of deception” involving the
many, often-changing companies named in the lawsuits. Here, Minnesota effectively alleges four entities should be subject to liability for its climate damages. In other similar lawsuits around the country,
the governments there have named anywhere from
one or two defendants to several dozen companies,
including local entities in an effort to keep the cases
in state court. This ever-changing list of defendants
in different aspects of the energy industry highlights
5 https://freebeacon.com/wp-content/uploads/2016/04/Entire-
January-meeting-agenda-at-RFF-1-1.pdf.
11
the specious nature of this conspiracy-like narrative
and the lack of any principled basis for liability.
Outside of the courtroom, the advocates have
acknowledged that the desired effect of this litigation
is to penalize the worldwide production, promotion,
sale and use of fossil fuels—what they call imposing
the “true cost” of fuels on consumers. Kirk Herbertson, Oil Companies vs. Citizens: The Battle Begins
Over Who Will Pay Climate Costs, EarthRights, Mar.
21, 2018. They want to use the litigation to force
Americans into “cutting back” on fossil fuel use and
energy manufacturers to raise their prices “so that if
they are continuing to sell fossil fuels, that the cost of
[climate change] would ultimately get priced into
them.” Julia Caulfield, Local Lawsuits Asks Oil and
Gas to Help Pay for Climate Change, KOTO, Dec. 14,
2020. 6 They believe that because the “companies are
agents of consumers . . . holding oil companies responsible is to hold oil consumers responsible.” Jerry
Taylor & David Bookbinder, Oil Companies Should
be Held Accountable for Climate Change, Niskanen
Center, Apr. 17, 2018. 7
6 https://coloradosun.com/2021/02/01/boulder-climate-lawsuit-
opinion/.
7 A reporter who follows the litigation has observed the incon-
gruity between the ways the cases are presented in and out of
court: “State and local governments pursuing the litigation argue that the cases are not about controlling GHG emissions . . .
But they also privately acknowledge that the suits are a tactic
to pressure the industry.” Dawn Reeves, As Climate Suits Keeps
Issue Alive, Nuisance Cases Reach Key Venue Rulings, Inside
EPA, Jan. 6, 2020, at https://insideepa.com/outlook/climatesuits-keeps-issue-alive-nuisance-cases-reach-key-venue-rulings.
12
In filing the claims, the advocates are partnering
with state and local governments seeking money to
deal with local impacts of global climate change.
These governments often disclaim any attempt to
regulate emissions, but artful pleading and disclaimers cannot mask the true federal nature of this litigation. The lawsuits are being funded by non-profit
organizations because the litigation raises inherent
federal legal and energy issues. See, e.g., City of Hoboken Press Release, Hoboken Becomes First NJ City
to Sue Big Oil Companies, American Petroleum Institute for Climate Change Damages, Sept. 2, 2020 (noting the legal fees would be paid by the Institute for
Governance and Sustainable Development). 8
In addition, these groups are using political-style
tactics to leverage the litigation to hinder the energy
companies politically. See generally Beyond the
Courtroom, Manufacturers’ Accountability Project
(detailing this litigation campaign). 9 Unlike traditional state lawsuits, success here includes filing and
maintaining state lawsuits they can use for their national goals, which underscores the need for the
Court to grant the Petition.
This case epitomizes the way cases are being developed, funded, and litigated. Shortly after the lawsuit was announced, the Center for Climate Integrity
and Fresh Energy publicly said they “put this idea in
front of [the] Attorney General.” Minnesota is Suing
Climate Polluters: Why, How and What’s Next?,
8_https://www.hobokennj.gov/news/hoboken-sues-exxon-mobil-
american-petroleum-institute-big-oil-companies.
9 https://mfgaccountabilityproject.org/beyond-the-courtroom.
13
Fresh Energy, July 1, 2020. 10 They also said that two
Assistant Attorneys General reportedly hired and
paid by the State Energy & Environment Impact
Center at the New York University School of Law to
work in the Attorney General’s office and bring these
types of lawsuits 11 “have basically been working on
this full-time over [a] few months.” Id. The Attorney
General’s office is simply a vehicle for the group’s efforts to wage this national litigation campaign.
Overall, more than two dozen of these lawsuits
have been filed since 2017 in carefully chosen jurisdictions in an effort to “side-step federal courts and
Supreme Court precedent” and convince local state
courts to help them advance their preferred national
and international policy agenda by awarding money
to state and local jurisdictions. Editorial, Climate
Lawsuits Take a Hit, Wall St. J., May 17, 2021.
III. MERELY PASTING STATE LAW
LABELS ON FEDERAL LAW CLAIMS
SHOULD NOT BE A MEANS FOR
EVADING FEDERAL SCRUTINY
To be clear, the state law theories in this litigation are mere fig leaves. The theory of harm is not
moored to any plaintiff, defendant, or jurisdiction, as
the permutations of the cases show. And, the chain of
causation, as the Court observed in AEP, is anything
but local. In this regard, the predictions of the
Obama administration in AEP have been born out.
The Solicitor General, in opposition to that lawsuit,
10 https://www.youtube.com/watch?v=2MqX14GTm-o&t=90s.
11 See John O’Brien, Minnesota AG Sued for Info on Employees
Who Are Climate Change Activists Paid by Bloomberg, Legal
Newsline, July 14, 2020.
14
cautioned that there would be “almost unimaginably
broad categories of both potential plaintiffs and potential defendants.” Brief for the Tennessee Valley
Authority, AEP at 15 (filed Jan. 31, 2011). It would
be “impossible to consider the sort of focused and
more geographically proximate effects that were
characteristic of traditional nuisance suits.” Id. at 17.
In a lawsuit similar to the one here, the Second
Circuit saw through the claim’s state law veneer: “we
are told that this is merely a local spat about the
City’s eroding shoreline, which will have no appreciable effect on national energy or environmental policy. We disagree. Artful pleading cannot transform
the City’s complaint into anything other than a suit
over global greenhouse gas emissions.” City of New
York, 993 F.3d at 91. The same is true here; referencing state claims and asking for compensation and
state law penalties does not make federal matters of
global climate change suddenly suitable for state
courts. “Such a sprawling case is simply beyond the
limits” of state liability law. Id. at 92.
To this end, in the climate case brought by San
Francisco and Oakland, the district judge initially
denied the remand motion and dismissed the claims
on the merits for the same reasons: “Their theory
rests on the sweeping proposition that otherwise lawful and everyday sales of fossil fuels, combined with
an awareness that greenhouse gas emissions lead to
increased global temperatures, constitute a public
nuisance.” City of Oakland, 325 F. Supp. 3d at 1022.
It attempts to “reach the sale of fossil fuels anywhere
in the world.” Id. The fact that the ruling was vacated when the district judge’s order denying remand
was overturned underscores the reason the Court
15
should grant the Petition and instruct the circuits to
consider the federal substance and impact of the
claims, not just their state law labels.
Here, the concurrence in the decision below captured this point well: “Minnesota purports to bring
state-law consumer-protection claims against a
group of energy companies. But its lawsuit takes aim
at the production and sale of fossil fuels worldwide. . . . There is no hiding the obvious, and Minnesota does not even try: it seeks a global remedy for a
global issue.” American Petroleum Inst., 63 F.4th at
717 (Stras, J., concurring). Merely invoking state law
labels does not turn the production, sale, promotion
and use of fossil fuels into state law liability events.
As the Court has appreciated, “[w]hat matters is the
crux—or, in legal speak, the gravamen—of the plaintiff’s complaint, setting aside any attempts at artful
pleading.” Fry ex rel. E.F. v. Napoleon Cmty. Schs.,
137 S. Ct. 743, 755 (2017); see also Rivet v. Regions
Bank of Louisiana, 522 U.S. 470, 475 (1998).
One concern is that state courts “may reflect ‘local
prejudice’ against unpopular federal laws” or defendants. Watson v. Philip Morris Cos., 551 U.S. 142, 150
(2007). These dynamics are certainly at risk here, as
the desired effect of these lawsuits is to bring private, out-of-state money to local communities. In
Maryland, when asked about the legal shortcomings
of climate lawsuits, Annapolis officials expressed unusual confidence that “the Maryland courts will get
us there.” Brooks Dubose, Annapolis Sues 26 Oil and
16
Gas Companies for their Role in Contributing to Climate Change, Cap. Gazette, Feb. 23, 2021. 12
There is no doubt that if any state court allows a
hometown recovery, there will be a race to state
courthouses across the nation to file more of these
lawsuits. State courts are simply not positioned to be
arbiters of who, if anyone, is to be legally accountable
for global climate change. The Court should not allow
Respondent and other governments to avoid federal
scrutiny merely by painting their federal law claims
with state law brushes.
IV. THE COURT SHOULD AFFIRM THAT
CLAIMS ALLEGING HARM FROM
CLIMATE CHANGE RAISE
UNIQUELY FEDERAL INTERESTS
Finally, as recent events have demonstrated, subjecting selected American, Canadian, and European
energy manufacturers to liability for global climate
change would directly interfere with exclusive federal interests. At the heart of these claims is the notion
that America should reduce the production of fossil
fuels because of the impact these fuels are having on
the climate. See City of New York, 993 F.3d at 93 (“If
the Producers want to avoid all liability, then their
only solution would be to cease global production altogether.”). Some may consider this to be a sensible
solution to the climate crisis, but it is not the role of
state courts to force such a transition.
For starters, state governments do not control the
global fuel market, so forcing a reduction in western
12_https://www.capitalgazette.com/maryland/annapolis/ac-cn-
annapolis-fossil-fuels-lawsuit-20210222-20210223vs2ff7eiibfgje6fvjwticys2i-story.html.
17
oil production would not reduce GHG emissions. As
the New York Times reported, many of these companies are already “slowing down production as they
switch to renewable energy. . . . But that doesn’t
mean the world will have less oil.” Clifford Krauss,
As Western Oil Giants Cut Production, State-Owned
Companies Step Up, N.Y. Times, Oct. 14, 2021. 13
“[S]tate-owned oil companies in the Middle East,
North Africa and Latin America are taking advantage of the cutbacks . . . by cranking up their production.” Id. “This massive shift could . . . make
America more dependent on [OPEC], authoritarian
leaders and politically unstable countries . . . that
are not under as much pressure to reduce emissions.”
Id. “[T]he United States and Europe could become
more vulnerable to the political turmoil in those
countries and to the whims of their rulers”—and
Russian President Vladimir Putin “uses his country’s
vast natural gas reserves as a cudgel.” Id.
In response to the Ukrainian invasion, the current administration is taking measures that would
be directly contradicted by these state lawsuits. Specifically, President Biden has released oil from the
nation’s strategic reserves, urged American energy
manufacturers to increase their production of oil,
tried to decrease energy prices, and invested in new
energy technology. See Zack Colman & Ben Lefebvre,
Biden To Tap Oil Reserves, Press Oil Sector To Hike
Production, Politico, Mar. 31, 2022. 14 State court rul13_https://www.nytimes.com/2021/10/14/business/energy-
environment/oil-production-state-owned-companies.html.
14 https://www.politico.com/news/2022/03/31/biden-to-tap-oil-
reserves-use-wartime-powers-to-limit-fuel-shocks-00022020.
18
ings to curtail fossil fuel production, make fuels more
expensive, and hinder innovation would conflict with
this strategic national security response.
In addition, this litigation raises federalism concerns. As the concurrence below observed, this case
seeks to impose Minnesota liability law on conduct
solely “outside of Minnesota.” 63 F.4th at 719 (Stras,
J., concurring) (emphasis added). The same is true
with other climate cases, as demonstrated in the oral
argument in Honolulu’s climate case. There, the city
is seeking “to apply Hawaii law to conduct in every
jurisdiction in the United States.” Jennifer Hijazi,
Oil Giants Fight Climate Deception Suit at Hawaii
Supreme Court, Bloomberg Law, Aug. 18, 2023. All of
these jurisdictions want to independently dictate
consumer protection liability for communications the
companies had with consumers, lawmakers and others entirely in other states—even each other’s jurisdictions—regardless of whether those states would
find the communications fully lawful. Under the
American system on constitutional federalism, these
states and localities are not allowed to impose their
state’s law to conduct wholly in those other states.
Indeed, more than fifteen state attorneys general
have objected to this litigation because the governments in other states are using it to export their laws
and “preferred environmental policies and their corresponding economic effects to other states.” Amicus
Brief of Indiana and Fourteen Other States in Support of Dismissal, City of Oakland v. BP, No. 18-1663
(9th Cir. filed Apr. 19, 2018). It also would hurt efforts by other communities to address climate impacts in their own areas by draining resources.
19
To pay for any award in this case, people and
businesses in every state would have to pay higher
energy prices for projects in Minnesota, even though
their communities may have comparable needs. As
one New Jersey coastal leader said in response to a
lawsuit from Hoboken, New Jersey: “Hoboken is
sticking the rest of us with the bill” as the litigation
“will make it much more expensive for us to put gas
in our cars and turn on our lights.” Michael Thulen,
Why Hoboken’s Climate Change Lawsuit Is Bad for
New Jersey, NJBiz, Oct. 11, 2021 (Thulen served as
President of the Point Pleasant Borough Council). 15
There are less harmful ways to address impacts of
climate change that do not have the downsides associated with this litigation. Federal and state programs have already made funds available that can
provide local relief now.
The Court should grant the Petition. Only uniform federal law supplies the standards that can be
applied here. Yet, there are more than two dozen
climate suits pending around the country, with organizers actively recruiting more lawsuits. In just
the past few months, California and Multnomah
County, Oregon each filed lawsuits seeking tens of
billions of dollars for climate mitigation from energy
companies based on many of these same theories.
See, e.g., Ryan Fonseca, California Is Suing Big Oil,
Accusing Them of Climate Change ‘Deception,’ L.A.
Times, Sept. 18, 2023; Editorial, Multnomah County’s Lawsuit Filing Does Not Count as Governance,
The Oregonian, June 25, 2023 (“While filing a law-
15 https://njbiz.com/opinion-wrong-course/.
20
suit against Big Oil may scratch a populist itch, this
isn’t the kind of governance residents need.”).
Lawsuits alleging energy manufacturers can be
subject to untold liability for harms stemming from
global climate change should not be the result of
state-by-state political decisions on whether and
whom to sue for climate change and ad hoc rulings in
local courts. Also, as a matter of judicial efficiency, it
is important for the Court to provide guidance now,
as proceedings have already begun in state courts
around the country and more suits are being filed.
***
Ultimately, amicus believes the best way to address the impact that energy use is having on the
climate is for Congress, federal agencies, and local
governments to work with manufacturers and other
businesses on developing public policies and technologies that can reduce emissions and mitigate damages. See Ross Eisenberg, Forget the Green New Deal.
Let’s Get to Work on a Real Climate Bill, Politico,
Mar. 27, 2019. The challenge facing society is to affordably and reliably provide this energy while mitigating its climate impacts. It is not to blame providers for selling energy people need to heat their
homes, fuel their cars, build schools, places of worship and workplaces, and turn on lights.
CONCLUSION
For these reasons, amicus curiae respectfully requests that this Court grant the Petition and vacate
the order to remand these federal issues to state
court.
21
Respectfully submitted,
Philip S. Goldberg
Counsel of Record
SHOOK, HARDY & BACON L.L.P.
1800 K Street, N.W., Suite 1000
Washington, D.C. 20006
(202) 783-8400
pgoldberg@shb.com
Michael A. Tilghman II
THE NAM LEGAL CENTER
733 10 Street, N.W., Suite 700
Washington, D.C. 20001
Dated: September 21, 2023
This is a copy of a public record, reproduced as it was published. It is not legal advice, and it may not be the version a court would rely on. Check the official source before you cite it.