Courthouse Steps Preview: Chevron USA, Inc. v. Plaquemines Parish, Louisiana

Beginning in 2013, several Louisiana coastal parishes, including Plaquemines and Cameron, sued major oil and gas companies, such as BP America Production Company, Chevron U.S.A. Inc., and Shell Oil Company, in state court, alleging violations of Louisiana’s State and Local Coastal Resources Management Act of 1978 (SLCRMA). The parishes claim the companies conducted oil and gas operations in the state’s coastal zone without required permits or in violation of permit conditions, and that pre-1980 activities, including activities related to World War II, also give rise to liability.

Seeking removal under the federal-officer removal statute, 28 U.S.C. §1442(a)(1), the companies argue that their World War II federal defense contracts support federal court jurisdiction. The district court rejected this argument, remanding to state court, and the Fifth Circuit affirmed over a dissent by Judge Oldham. The Supreme Court granted review of the following questions: (1) Whether a causal-nexus or contractual-direction test survives the 2011 amendment to the federal-officer removal statute, which provides federal jurisdiction over civil actions against "any person acting under [an] officer" of the United States "for or relating to any act under color of such office"; and (2) whether a federal contractor can remove to federal court when sued for oil-production activities undertaken to fulfill a federal oil-refinement contract.

Featuring:
Christopher E. Mills, Principal, Spero Law LLC

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As always, the Federalist Society takes no position on particular legal or public policy issues; all expressions of opinion are those of the speaker.