In a significant development, the U.S. Supreme Court has declined a request by major fossil fuel companies and the American Petroleum Institute (API) to shift a climate change lawsuit filed by Minnesota from state court to federal court. Exxon Mobil Corp, Koch Industries, and API had sought a review of a previous decision by the 8th U.S. Circuit Court of Appeals, which ruled that the lawsuit should be heard in state court.

The lawsuit, originally filed in Minnesota, accuses the energy industry of engaging in deceptive marketing tactics over several decades to undermine climate science and public awareness of the risks associated with burning fossil fuels. The state argues that this deliberate misconduct has led to billions of dollars in economic damages tied to climate change.

The Supreme Court's decision follows a trend from last year, when the justices declined multiple appeals related to similar climate change lawsuits, effectively allowing the cases to proceed in state courts. This has been seen as a victory for plaintiffs, as state courts are often viewed as more favorable venues.

Eight separate U.S. appeals courts have previously upheld lower court rulings to remand similar climate change cases back to state courts, on the basis that these lawsuits exclusively involve state law claims. Consequently, federal courts lack jurisdiction over such matters.

API, which has faced allegations of coordinating the industry's deceptive practices, along with energy companies, has argued that federal jurisdiction is appropriate due to the national and global significance of climate change. The energy industry maintains that these lawsuits seek to regulate federal energy policy through state law, and therefore, federal court is the appropriate venue to address the alleged harms caused by greenhouse gas emissions.

Minnesota's lawsuit specifically claims that the energy companies and API were aware of the climate change risks associated with fossil fuels as far back as the 1970s and 1980s, but chose not to disclose this information to the public. Moreover, the state alleges that these entities actively worked to undermine climate science. The lawsuit contends that such actions violated state consumer protection and fraud laws.

With the Supreme Court's decision, the climate change lawsuit in Minnesota will proceed in the state court system, allowing the state to pursue legal action against the energy industry and seek compensation for the economic damages caused by climate change.

This development reflects the ongoing legal battle between climate activists, governments, and the fossil fuel industry as they grapple with the accountability for the environmental and economic repercussions of greenhouse gas emissions.