Thirteen consumer protection cases also remain ongoing (seven seek both cost recovery and consumer protection). These suits are brought under state consumer protection statutes barring misleading consumer-facing communications and other unfair business practices. The evidentiary basis for these actions is similar to that for cost recovery suits, although the applicable statutes often don’t require a showing of damages and instead carry a civil penalty for each instance of materially misleading communication. These statutes helped undergird successful litigation against tobacco and opioid companies in the 1990s and 2010s, respectively.
Since 2017, these cost recovery and consumer protection suits have largely been occupied with pretrial motions, and no case has yet reached the merits. Plaintiffs, however, have generally prevailed against venue and dismissal motions, and at least some of these cases are expected to go to trial in 2022.
Paris injunctions
Outside the United States, another legal approach has gained considerable traction: suits against governments and corporations seeking injunctions ordering alignment with the Paris Agreement. The Paris Agreement, an international treaty on climate change adopted in 2015, seeks to limit global warming to 2 degrees Celsius or 1.5 degrees Celsius, if possible (global warming has already reached 1.1 degrees Celsius). The treaty is legally binding procedurally but not in terms of reducing greenhouse gas (GHG) pollution. However, because over 190 countries are party to the agreement, it provides a consensus regarding the level to which global warming should be limited, if possible.
In 2013, the Dutch foundation Urgenda filed suit against the Dutch government, alleging that the country’s inadequate GHG reduction policies violated the human rights of Dutch citizens. The Hague District Court agreed, ordering the government to set policies to reduce national GHG pollution by 25 percent by 2020 (compared to 1990 levels), which was affirmed by The Hague Court of Appeals and ultimately, in 2019, the Dutch Supreme Court. The courts based their decision on the minimum GHG reduction the Intergovernmental Panel on Climate Change had determined was necessary to prevent global warming of 2 degrees Celsius, as well as Articles 2 and 8 of the European Convention on Human Rights.
Building from the Urgenda decision, in 2019 the Dutch foundation Milieudefensie and co-plaintiffs filed suit against Royal Dutch Shell, seeking a similar injunction ordering the multinational fossil fuel company to align its business operations with the goals of the Paris Agreement. Milieudefensie based its claim on the Netherlands’ duty of care law (Dutch Civil Code Book 6, section 162) as well as Articles 2 and 8 of the European Convention on Human Rights. In 2021, The Hague District Court ruled for the plaintiffs, ordering Royal Dutch Shell to reduce GHG pollution across its entire product chain (including sold products) by 45 percent by 2030 compared to 2019 levels. The decision marked the first time a business enterprise was held liable for its contribution to global warming. Royal Dutch Shell has indicated it plans to appeal.