Maryland High Court Rejects Local Climate Damages Suits Against Energy Companies

Court ruling

Maryland’s highest court on Tuesday dismissed several local government claims seeking damages from major energy companies for harm allegedly caused by climate change, finding that federal law preempts the case and that state law does not support the claims.

In a consolidated decision, the Maryland Supreme Court upheld the dismissal of suits brought by Baltimore, Anne Arundel County and Annapolis. The plaintiffs had alleged that the companies contributed to climate change through the production and promotion of fossil fuels, asserting state-law claims including public nuisance, trespass and failure to warn.

The court held that the state claims were displaced by federal jurisdiction over interstate pollution and further preempted by federal legislation, including the Clean Air Act. According to the decision, allowing state tort actions to proceed would interfere with the federal regulatory framework governing greenhouse gases.

Background of the case

The litigation began in 2018, when Baltimore sued a group of energy companies, alleging that their decades-long activities contributed to climate-related damage in the city. Anne Arundel County and Annapolis later filed similar suits.

After years of procedural disputes, including fights over jurisdiction and venue, the cases reached Maryland state courts and were consolidated on appeal.

Court’s reasoning and impact

The court said that even if the claims were not preempted, they were unlikely to succeed. It pointed to the difficulty of proving causation between localized harms and broad, large-scale activity, as well as concerns about the timing of the alleged injuries.

The ruling marks a significant setback for state and local governments seeking to recover climate-related costs from energy companies. It also adds to a growing line of decisions limiting the ability of state courts to address claims tied to global emissions.