A Louisiana jury’s decision last week to award $745 million in damages against Chevron has become the latest flashpoint in the national legal battle over climate accountability, drawing fierce reactions from industry allies, legal reform advocates, and watchdog groups warning of broader implications.
The verdict, issued by the 25th Judicial District Court in Plaquemines Parish, marks the first jury trial result from a slate of more than 40 lawsuits filed by Louisiana parishes since 2013.
The suits claim that oil and gas operations contributed significantly to coastal erosion and environmental degradation. But critics say the lawsuits could imperil the state’s economic prospects while doing little to directly restore coastal lands.
“This verdict is just the latest blow to Louisiana’s reputation as a place hostile to business,” said Lauren Sheets Jarrell, vice president and counsel for civil justice policy at the American Tort Reform Association. “It’s emblematic of a broader culture of lawsuit abuse that threatens jobs and discourages investment.”
Legal observers note that the Louisiana case fits into a growing wave of lawsuits nationwide that seek to hold energy companies financially liable for the effects of climate change.
Similar actions have been filed from California to Pennsylvania, where Bucks County recently sued major oil firms, accusing them of deceiving the public about the risks of fossil fuel emissions.
These climate lawsuits often hinge on a public nuisance theory—a legal concept that allows for liability when someone’s actions broadly harm a community. But the strategy has faced stiff legal headwinds.
In a unanimous 2011 decision (American Electric Power Co. v. Connecticut), the U.S. Supreme Court ruled that the federal Clean Air Act displaced federal common law claims about greenhouse gas emissions. That decision has since been cited by critics to argue that courts are not the venue for rewriting environmental policy.
“There are all kinds of problems with traceability, causation, and allocability,” Donald Kochan, a law professor at George Mason University, told The Center Square in a previous interview. “Due process means you can’t be responsible for someone else’s actions… and you have to trace the particular pollution to the defendant’s conduct.”
Still, plaintiffs are increasingly filing cases under state law in an attempt to bypass the limitations imposed by the 2011 ruling. The Chevron case, while not based on climate deception per se, underscores the high-stakes nature of state-level environmental litigation and the potentially massive liabilities at stake.
In Louisiana, industry groups warn that the verdict could set a dangerous precedent.
“Lawsuits are not economic development,” said Lana Venable, executive director of Louisiana Lawsuit Abuse Watch. “This kind of jackpot justice reinforces Louisiana’s status as a judicial hellhole and sends the wrong signal to job creators.”
Chevron and other companies have argued that such lawsuits ignore the regulatory frameworks established by Congress and the state, and that past operations were carried out in compliance with existing laws.
They also argue that the state’s 1980 environmental law — cited in the Plaquemines case — was never intended to apply retroactively to decades-old activities.
The oil and gas industry, a major economic driver in the state, has historically been one of the largest taxpayers in coastal parishes, as well as targets in the lawsuits.
In 2023, Chevron, Phillips 66, and Texas Petroleum Investment Company paid more than $130 million in ad valorem taxes to Plaquemines.
Yet, Gov. Jeff Landry has been a vocal supporter of the lawsuits. Supporting lawsuits against the nucleus of his “all-of-the-above” energy agenda is perhaps another example of the governor’s embrace of special interests.
Landry, a Republican, received more than $700,000 in campaign contributions from plaintiffs’ attorneys. Landry vetoed a bill in 2024 that would have capped inflated damages for medical costs in lawsuits, a move that raised eyebrows among civil justice reform advocates.
As climate litigation unfolds across the country, some cases have been dismissed, while others remain in early stages.
The U.S. Supreme Court has so far declined to take up similar state-level cases, but legal experts believe it’s only a matter of time before the high court weighs in on whether these novel claims can proceed.
“You’re going to have to do it someday,” Kochan said. “So why not today? It’s inevitable.”
