A terrorism case is shaping one climate lawsuit

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🗞️ Driving the news: A recent U.S. Supreme Court ruling allowing Americans to sue Palestinian groups over terrorism is being invoked in a landmark climate lawsuit brought by Puerto Rican municipalities against major fossil fuel companies
• The plaintiffs argue the terrorism case supports broader federal jurisdiction over foreign companies accused of misleading the public on climate risks
• Defendants, including BP, Shell, BHP, and Rio Tinto, counter that the terrorism ruling does not apply and that the court lacks jurisdiction because of insufficient ties to Puerto Rico

🔭 The context: In Fuld v. PLO, the Supreme Court upheld a 2019 U.S. law expanding federal jurisdiction for terrorism claims, citing national security and congressional authority
• The Puerto Rican municipalities are pursuing a Racketeer Influenced and Corrupt Organizations Act (RICO) case, filed in 2022, alleging coordinated climate disinformation and harm from fossil fuel products
• Their legal strategy draws parallels between RICO and the Antiterrorism Act to argue for jurisdiction over foreign entities trading and operating in U.S. markets

🌍 Why it matters for the planet: This jurisdictional battle highlights how legal precedents in unrelated fields could influence climate litigation, potentially setting the stage for greater corporate accountability in U.S. courts
• A ruling affirming jurisdiction could encourage more lawsuits against multinational fossil fuel producers for climate damages
• However, broad application of U.S. jurisdiction to global climate issues raises concerns about foreign policy tensions and the appropriate venue for such disputes

⏭️ What's next: Judge Silvia Carreño-Coll of the U.S. District Court for Puerto Rico is expected to rule on whether the Supreme Court’s terrorism decision justifies broader jurisdiction over the foreign defendants
• Her decision could shape not only the future of this specific lawsuit — which seeks billions in damages — but also signal to other U.S. courts handling similar climate claims how to address jurisdictional challenges involving global emissions and multinational firms

💬 One quote: “The injuries at issue — rising sea levels, devastating hurricanes, infrastructural degradation, and public health consequences — are national in scope and stem from coordinated, nationwide enterprise conduct,” argued attorneys for the Puerto Rican municipalities

📈 One stat: BP, Shell, BHP, and Rio Tinto collectively generated over $600 billion in global revenues in 2024, underscoring their significant presence in U.S. and international markets despite being headquartered abroad

See on illuminem's Data Hub™ the sustainability performance of BP, Shell, BHP, Rio Tinto and their peers ExxonMobil, Chevron, and TotalEnergies

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