The U.S. Justice Department is siding with Chevron in a pivotal Louisiana coastal lawsuit, urging the Supreme Court to move Plaquemines Parish v. Chevron USA into federal court, The Center Square writes.
The case is the first of 42 similar suits seeking billions from oil companies for alleged damage to Louisiana’s vanishing wetlands. At the heart of the dispute: whether Chevron’s predecessor companies, which produced oil and refined aviation gasoline under federal contracts during World War II, were “acting under” federal authority.
The DOJ argues they were, pointing to the Petroleum Administration for War’s strict oversight of the industry and Texaco’s role in supplying critical avgas for Allied forces. Business advocates say the April verdict against Chevron threatens jobs and investment, while environmental groups hail it as a breakthrough in holding energy firms accountable for canal dredging and drilling that accelerated coastal erosion. The U.S. Chamber of Commerce has also submitted briefs in favor of Chevron.
