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Supreme Court Hears Chevron Bid to Shift Louisiana Coastal Cases to Federal Court

An eight-justice bench is weighing the scope of the federal-officer removal statute following Justice Alito’s recusal.

Overview

  • The justices heard arguments on whether World War II–era government contracts allow Chevron and others to remove parish lawsuits over coastal erosion from Louisiana state courts to federal court.
  • Chevron’s lawyer Paul Clement argued crude production was closely tied to wartime aviation fuel contracts, while justices pressed on how broadly “related to” federal duties can be read.
  • Louisiana officials countered that the claims center on post‑1980 state permitting violations and that state courts are best positioned to interpret the coastal management statute.
  • More than 40 parish suits are pending, and a Plaquemines Parish jury’s roughly $744–$745 million verdict against Chevron could be imperiled if the case moves to federal court.
  • With Justice Alito recused, a 4–4 split is possible that would leave lower-court rulings keeping the cases in state court, and a decision is expected by the end of June.