U.S. District Judge Jane Beckering in Grand Rapids dismissed Michigan’s antitrust lawsuit Tuesday against BP, Chevron, Exxon Mobil, Shell and the American Petroleum Institute, rejecting claims brought by Democratic Michigan Attorney General Dana Nessel. The lawsuit, filed in January, accused the companies of conspiring to delay competition from electric vehicles and renewable energy technologies.
Michigan alleged that the companies worked together to reduce innovation and output in renewable energy markets while protecting the dominance of fossil fuels. The state sought remedies for what it described as higher energy costs suffered by Michigan residents as a result of the alleged conspiracy.
Beckering found that antitrust laws did not provide a remedy for the injuries Michigan identified, apart from its claims involving energy overcharges. The judge concluded that the connection between the alleged decades-long conspiracy and the state's claimed overcharges was too distant to establish that the alleged conduct directly caused those costs.
The lawsuit cited historical evidence involving the companies’ research into alternative energy and electric vehicles. Michigan’s complaint, for example, pointed to Exxon research from 1979 that it said anticipated renewable energy becoming increasingly competitive with fossil fuels. The state also alleged that Exxon had developed hybrid gas-electric vehicle technology in the 1970s but did not bring it to market.
The ruling follows a series of decisions in other jurisdictions involving similar climate-related lawsuits against fossil fuel companies. Courts in Delaware, Maryland, New Jersey, New York, Pennsylvania, Puerto Rico and South Carolina have also rejected comparable cases, although other lawsuits brought by state and local governments remain pending.
Nessel’s office said it disagreed with the ruling and was considering its options. Chevron attorney Ted Boutrous said the decision added to what he described as a growing list of federal and state courts dismissing climate lawsuits against the industry.
The Trump administration also opposed Michigan’s lawsuit. The Justice Department had sued Michigan in May seeking to prevent the state from pursuing its case against the oil companies and praised Beckering’s dismissal, characterizing Michigan’s effort as an “aggressively anti-energy lawsuit.”
The decision comes as the Trump administration has moved to reverse several Biden-era policies intended to encourage electric-vehicle production and purchases. The administration has taken steps affecting federal EV requirements and consumer incentives as part of its broader energy policy shift.
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