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California Sues Automakers for Global Warming

At CW we like to keep an eye on litigation and coverage developments across the border, since its fairly common for Canada to follow suit (literally). A recent example of this phenomenon would be the British Columbia government suing the tobacco industry to try to recover billions of dollars in health care costs.

California is now launching a similar attack on automakers for the economic impact of global warming.

On September 20, 2006, the Attorney General of California sued General Motors, Toyota, Ford, Honda, Chrysler and Nissan claiming that the environmental impacts of global warming are a "public nuisance" for which the automakers should be held liable at law. The first paragraph of the "Complaint" filed in the U.S. District Court in California reads as follows:

"Right now, global warming is harming California, its environment, its economy, and the health and well-being of its citizens. Scientific debate is over: the massive atmospheric increase in carbon dioxide and other greenhouse gases resulting from human activity has changed the climate and will further change the climate over the next decades. Human-induced global warming has, among other things, reduced California’s snow pack (a vital source of fresh water), caused an earlier melting of the snow pack, raised sea levels along California’s coastline, increased ozone pollution in urban areas, increased the threat of wildfires, and cost the State millions of dollars in [assessing/ addressing those impacts]."

The legal basis for the lawsuit is said to be the tort of "public nuisance", i.e. that the automakers, by manufacturing motor vehicles which emit carbon dioxide and other greenhouse gases have knowingly created or contributed to global warming which constitutes a substantial and unreasonable interference with public rights of comfort, safety, natural resources and public property and aesthetic/ecological values.

The Complaint of the Attorney General claims that emissions from motor vehicles manufactured by the six Defendants account for approximately nine percent of the worlds carbon dioxide emissions and over 30 percent of emissions from sources within California. Such vehicle emissions, it claims, "are the single most rapidly growing source of carbon dioxide emissions in the United States". The effects of such global warming are said to have caused the State of California to suffer billions of dollars in damages for which the State is seeking to hold each automaker jointly and severally liable. The lawsuit, if it survives, will be tried before a jury.

It will be interesting to see whether similar lawsuits come to be filed in other States or in Canada. Certainly, if big tobacco litigation is anything to judge by, this is a distinct possibility. Of course, notwithstanding what the California Complaint asserts, each such lawsuit is going to involve considerable debate not only about the science of global warming but, perhaps more importantly from a legal point of view, whether there is a proper basis in law for holding automakers, or indeed anyone else, liable for the effects of global warming. Another question which needs to be asked is if the big contributors can be held liable, are smaller contributors also exposed? Would not everybody who drives a car, or, dare we say it, who emits a little gas, be subject to the same suit? While global warming is nothing to joke about, one might ask if the state shouldn't first clean up its own emissions before seeking redress in the courts.

A copy of the Complaint filed in the California lawsuit can be found here.

If readers have any questions respecting the tort of "nuisance" generally, feel free to contact Nigel Kent (tel: 604.643.3135, email: npk@cwilson.com ) or any other member of the Clark Wilson LLP Insurance Practice Group.

 

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