Supreme Court to decide on jurisdiction for contractor lawsuits

Donald J. Kochan, Professor of Law and Executive Director of the Law & Economics Center
Donald J. Kochan, Professor of Law and Executive Director of the Law & Economics Center - The Federalist Society
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On June 16, the U.S. Supreme Court agreed to hear the case Chevron v. Plaquemines Parish next term. The decision will determine whether federal contractors involved in more than forty lawsuits filed by Louisiana parishes are entitled to a federal forum for resolving issues related to their federal rights and immunities.

The lawsuits, initiated in various Louisiana state courts, accuse energy companies of contributing to coastal land loss through activities like energy refinement, production, and distribution. The plaintiffs seek damages and unspecified climate remediation funding.

Donald J. Kochan, Professor of Law at George Mason University’s Antonin Scalia Law School, argues that these cases should be removed to federal court due to their federal nature. He highlights that the energy companies were acting under federal contracts during World War II to produce crucial materials like aviation-grade fuel.

Kochan emphasizes that many of the targeted activities were authorized and funded by state, local, and federal authorities as vital national security measures. The Federal Tort Reform Association has labeled Louisiana courts as “judicial hellholes” due to their receptiveness to such lawsuits.

The Supreme Court’s ruling could impact how liability is assigned in cases involving actions taken under federal contracts. Kochan suggests that allowing these cases in state courts threatens rule of law and national security interests.

The outcome may also affect Trump Administration policies aimed at enhancing American energy independence through exploration and production on federal lands and waters.



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