US Climate Court Battles 2026

As the climate crisis continues to wreak havoc across the world, attention turns to the court room, where governments and businesses are on the offence against the environment. In 2025, legal battles expanded the scope of climate litigation [1]. Two Washington state residents sued the fossil fuel industry for contributing to climate change, arguing that increased natural disasters in the area had led to rising insurance premiums [2].

Across America the current political situation is clashing with climate targets. Many argue that governments worldwide are behind in taking action to address the threat of climate change. The Trump administration, however, is attempting to deny the courts the ability to try these climate suits. Some of these lawsuits will playout throughout 2026 and the results will likely have lasting impacts for America’s emissions.

Department of Justice v. Democratic-led States

In 2025, the Department of Justice (DOJ), following an executive order signed by the President, sued four democratic states including New York and Vermont, where state laws are ‘burdening’ fossil fuel production. In New York and Vermont, the lawsuits aim to nullify state laws creating ‘climate Superfunds’ that request payment from companies for greenhouse gas emissions [3]. 

If the courts rule in favour of the DOJ, it could lead to a ‘de facto nationwide federal shield against state climate torts and ‘climate Superfund’ recovery schemes’ [4]. Despite the threat to state-led Superfunds, other states, including New Jersey and Maryland are considering creating their own.

California Climate Disclosure

In late 2025, the US Chamber of Commerce urged the Supreme Court to block California’s climate disclosure laws, including SB 261 which would require businesses with revenues of more than $500 million to disclose climate-related financial risks and measures taken to mitigate and adapt [5]. A coalition of business associations led by the Chamber of Commerce has argued that the law violates the First Amendment. Judges in the Ninth Circuit Court of Appeals now have to decide whether SB 261 and climate-related disclosures constitute commercial speech.

In relation to this appeals case, Exxon Mobil, also filed a lawsuit against California, arguing that the disclosure laws seek to debase fossil fuel producers and that they will be ‘shamed into curbing their emissions’ [6].

Boulder v. DOJ

Exxon Mobil and Suncor Energy have asked the Supreme Court justices to find that federal law blocks local governments from seeking relief for climate change in state courts.

The Colorado Supreme Court has sided with Boulder County to allow the City of Boulder’s lawsuit against Exxon Mobil and Suncor Energy to continue. The suit comes after the oil companies’ actions greatly contributed to an altered climate. The legal action has been taken in the hopes that the rising costs of dealing with the climate crisis do not fall on taxpayers alone [7]. So far, the suit has been maintained within local courts.

The DOJ has claimed that if suits like this are allowed to go forward ‘energy companies across the globe will be subject not only to billions of dollars in damages, but also to a multiplicity of rules governing their conduct…as one city after another seeks to hold the companies liable for fossil fuel activities anywhere in the world’ [8].

Exxon Mobil and Suncor have petitioned the US Supreme Court, asking judges to take up the question of whether federal law pre-empts state-based lawsuits seeking relief or climate change damages.

Regardless of the final judgements in these cases, the results will likely shape any future climate litigation cases, positively or negatively, and have lasting impacts on who bears the financial burden of climate disasters.

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References

Image accreditation: Getty Images for Unsplash.com+. Last accessed on 15th January 2025. Available at: https://unsplash.com/photos/a-statue-of-a-woman-sitting-on-a-bench-in-front-of-a-building-TVMKiNPHZTE