Supreme Court considers moving Louisiana coastal suits to federal court

On Jan. 12, 2026, the Supreme Court heard arguments over whether oil companies sued by Louisiana for environmental damage to the state’s coastline may remove those cases from state courts to federal court. More than 40 related lawsuits filed by local officials seek potentially billions of dollars in damages, alleging decades of drilling, dredging and waste disposal without proper permits that contributed to coastal erosion.

Attorneys for the oil companies told the justices they want federal venues because a federal judgment would be viewed as more broadly accepted and not the product of local prejudice; lawyers for Louisiana argued state courts are best suited to interpret the state environmental law at issue.

The exchange included questions from Justice Brett M. Kavanaugh to Paul D. Clement, counsel for the oil companies, and a reference to an April jury verdict in Plaquemines Parish that found Chevron liable for about $745 million. The removal dispute turns on the federal officer removal statute and whether World War II–era fuel‑supply contracts put the companies’ conduct under federal authority.

A federal trial court rejected the companies’ claim, and a divided Fifth Circuit panel largely blocked removal, with judges differing over how the wartime contracts relate to the conduct the plaintiffs have said caused damage. The Trump administration has sided with the companies.

Key Topics

Politics, Oil Companies, Louisiana, Plaquemines Parish, Federal Officer Removal, Fuel Supply Contracts