Feb 21 (Reuters) - A U.S. judge said Thursday that Exxon
, Chevron ( CVX ), Shell and six other oil
companies should face part of a lawsuit in Puerto Rico accusing
them of misleading the public about climate change and
conspiring to suppress clean energy alternatives.
The preliminary ruling by U.S. Magistrate Judge Héctor
Ramos-Vega in San Juan said that a group of Puerto Rican towns
provided enough information for now to pursue antitrust and
racketeering claims against Exxon and the other companies.
Ramos-Vega recommended dismissing consumer deception,
fraud and other state claims from the lawsuit. A federal
district court judge will consider whether to adopt all or part
of Ramos-Vega's ruling.
The municipalities alleged in their 2022 lawsuit that the
oil companies formed a coalition used to fund a marketing
campaign to deny climate change and worked together to undermine
alternative energy sources. The lawsuit seeks damages tied to
the destruction caused to Puerto Rico by Hurricanes Irma and
Maria in 2017.
The decision is a "major victory for climate accountability"
that sets the lawsuit on track for a trial, said Marc Grossman
of law firm Milberg Coleman Bryson Phillips Grossman, a lawyer
for the 37 Puerto Rican municipal plaintiffs.
In a statement, a lawyer for Chevron ( CVX ) said the lawsuit "is
virtually identical to others which have been dismissed by
numerous federal and state courts across the country."
Representatives for Exxon and Shell did not immediately
respond to requests for comment. The oil companies have denied
any wrongdoing.
In seeking dismissal of the lawsuit, the oil companies said
the complaint was "premised on the breathtaking notion that
defendants may be held liable for all carbon emissions,
everywhere and at any time."
Dozens of U.S. state and local municipalities have sued oil
companies to seek monetary damages for their alleged role of
contributing to climate change.
Last month, the U.S. Supreme Court declined a bid from major
oil companies to stop a lawsuit by Honolulu accusing them of
misleading the public about the dangers of climate change.
In a separate decision last month, a state judge dismissed
New York City's lawsuit accusing Exxon and other companies of
duping the public about their products.
The case is The Municipalities of Bayamon et al. v. Exxon
Mobil Corp. ( XOM ) et al., U.S. District Court for the District of
Puerto Rico, case No. 3:22-cv-01550.
For the municipalities: Marc Grossman, Melissa Sims, and
Vicki Maniatis of Milberg Coleman Bryson Phillips Grossman
For Chevron ( CVX ): Theodore Boutrous Jr of Gibson, Dunn &
Crutcher, and Neal Manne of Susman Godfrey
For Exxon: Theodore Wells Jr of Paul, Weiss, Rifkind,
Wharton & Garrison
For Shell: David Frederick of Kellogg, Hansen, Todd, Figel &
Frederick
Read more:
New York City lawsuit against Exxon, BP, Shell over climate
change dismissed
US Supreme Court rejects bid by oil companies to toss
Honolulu's climate suit
Consumers sue Exxon, Dow, others over plastic recycling
claims
Puerto Rican towns sue Big Oil under RICO alleging collusion
on climate denial