JUST IN: SCOTUS Issues Unanimous Ruling

The U.S. Supreme Court dealt a major blow Friday to a wave of lawsuits targeting oil companies over alleged coastal damage in Louisiana, undercutting a massive jury verdict out of Plaquemines Parish.

In an 8-0 ruling authored by Clarence Thomas, the court sided with Chevron USA Inc. in Chevron USA Inc. v. Plaquemines Parish, focusing on a narrow but critical legal question about where the cases should be heard.

At issue was whether the claims belong in state court or federal court.

The justices said lower courts got it wrong, arguing claims arising from companies operating under federal direction must be handled in federal court, not in local venues. That finding sends the case back to the U.S. Court of Appeals for the Fifth Circuit for further review.

Samuel Alito did not take part in the decision because he owned stock in one of the companies involved.

Credit: Fred Schilling, Collection of the Supreme Court of the United States.

The ruling doesn’t directly set aside a $745 million jury verdict issued in a Louisiana state court against Chevron. But it puts that outcome on shaky ground. With the court clarifying how federal removal law should be applied, the case will likely have to be retried in federal court.

RELATED: Democrats’ Quiet Plot To Add States, Pack SCOTUS Revealed

The dispute stems from more than 40 lawsuits filed by local and state governments claiming oil and gas companies damaged Louisiana’s coastal marshlands through decades of drilling and infrastructure work.

Friday’s decision carries broader implications beyond Louisiana. The court signaled that companies working under federal authority can’t be forced to defend themselves in potentially hostile local courts for actions tied to federal contracts.

That shift could reshape similar environmental and energy lawsuits nationwide, steering them out of local jurisdictions and into federal courtrooms.

Download the FREE Trending Politics App to get the latest news FIRST >>