Supreme Court to Hear Oil Companies' Appeal on Climate Lawsuits

Exxon Mobil and Suncor Energy seek to stop dozens of city and state lawsuits blaming them for climate change.

Published on Feb. 23, 2026

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The U.S. Supreme Court has agreed to hear an appeal by Exxon Mobil Corp. and Suncor Energy Inc. in an industry bid to stop dozens of city and state lawsuits that blame oil companies for climate change. The justices will review a Colorado Supreme Court ruling that said the city and county of Boulder could use state law to press a suit against the two companies.

Why it matters

Similar suits around the country could ultimately cost the oil industry billions of dollars if the Supreme Court lets them go forward. The case represents a high-stakes battle over whether state and local governments can use state laws to hold fossil fuel companies accountable for their role in climate change.

The details

The oil companies argue that the Constitution doesn't permit state lawsuits aimed at addressing a global issue like climate change, while Boulder says the companies misled the public about climate risks and should cover some of the costs governments are incurring. The Supreme Court will hear arguments and rule in the nine-month term starting in October.

  • The Supreme Court agreed to hear the appeal on February 23, 2026.
  • The court will hear arguments and rule in the nine-month term starting in October 2026.

The players

Exxon Mobil Corp.

An American oil and gas corporation that is one of the world's largest publicly traded international oil and gas companies.

Suncor Energy Inc.

A Canadian integrated energy company that is one of the largest producers of crude oil and natural gas in North America.

City and County of Boulder

A local government in Colorado that is suing Exxon Mobil and Suncor Energy for their role in climate change.

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What they’re saying

“The stakes in this case could not be higher.”

— Exxon and Suncor (The Supreme Court case)

“Boulder, Colorado, cannot make energy policy for the entire country.”

— Exxon and Suncor (The Supreme Court case)

“a constitutional theory they have yet to convince any appellate court to adopt.”

— Boulder (The Supreme Court case)

What’s next

The Supreme Court will hear arguments and rule in the nine-month term starting in October 2026.

The takeaway

This case represents a high-stakes battle over whether state and local governments can hold fossil fuel companies accountable for their role in climate change through state-level lawsuits. The outcome could have major financial implications for the oil industry and significant policy implications for how climate change is addressed at the state and local level.