Louisiana Jury Hears Landmark Environmental Case Against Oil Companies

Louisiana Jury Hears Landmark Environmental Case Against Oil Companies

POINTE À LA HACHE, La. — A high-stakes environmental lawsuit that could force oil and gas companies to pay billions in damages for coastal restoration is nearing its conclusion in a small Plaquemines Parish courthouse.

The case, the first of 42 similar lawsuits filed by coastal Louisiana parishes since 2013, centers on allegations that oil companies failed to follow state permitting laws and contributed to the loss of wetlands. Attorneys for Plaquemines Parish are asking for nearly $3 billion in damages.

“This is clearly the best shot in years that we’ve had to have oil companies meet their responsibility,” said John Barry, a former official with the South Louisiana Flood Protection Authority-East.

The case, filed against Chevron and related to its predecessor Texaco’s operations, claims the company used unlined pits to dispose of hazardous byproducts in coastal zones, violating state rules enacted in 1980. The lawsuit argues the companies failed to clean, detoxify, or restore affected areas, as required under those regulations.

Chevron denies wrongdoing. The company contends that much of the activity in question occurred before the 1980 law and was conducted under federal oversight during World War II. “The parish and the state should cease their state court efforts to destroy the oil and gas sector in Louisiana,” said Chevron spokesperson Bill Turene.

The trial is the culmination of over a decade of legal wrangling by lead attorney John Carmouche and his firm, Talbot, Carmouche & Marcello. The parish case has survived three attempts by defendants to move it to federal court, where similar lawsuits have previously failed.

“If somebody causes harm, fix it,” Carmouche said during opening arguments. “Clean up your mess.”

The lawsuits trace their origins to earlier so-called “legacy lawsuits” like the one filed by attorney Michael Veron in 1991. In that case, Shell paid $76 million for environmental damage left behind on private land. The success of Veron’s case helped spur the current round of litigation filed by six coastal parishes.

Only one case — involving Freeport McMoRan — has resulted in a settlement so far, totaling $100 million. The rest, including the Plaquemines Parish case now at trial, could potentially result in tens of billions in damages.

The lawsuits have faced strong political pushback. Louisiana lawmakers have repeatedly tried to halt them, including a 2020 bill that would have barred such claims. It failed to pass.

Gov. Jeff Landry, previously critical of the litigation, now supports the effort. His predecessor, John Bel Edwards, also backed the lawsuits. Both cited the urgency of addressing the state’s land loss, which has already claimed land roughly the size of Delaware.

Restoring Louisiana’s coast is expected to cost $50 billion over 50 years, a number widely believed to be an underestimate.

A verdict in the Plaquemines Parish case could set a precedent for the remaining lawsuits — and determine whether oil companies or taxpayers will bear the cost of restoring the disappearing coast.