{"id":23273,"date":"2024-09-17T13:07:28","date_gmt":"2024-09-17T18:07:28","guid":{"rendered":"https:\/\/blogs.law.columbia.edu\/climatechange\/?p=23273"},"modified":"2024-09-17T15:17:33","modified_gmt":"2024-09-17T20:17:33","slug":"sabin-center-expands-the-u-s-climate-litigation-database-with-new-carbon-offsets-case-category","status":"publish","type":"post","link":"https:\/\/blogs.law.columbia.edu\/climatechange\/2024\/09\/17\/sabin-center-expands-the-u-s-climate-litigation-database-with-new-carbon-offsets-case-category\/","title":{"rendered":"Guest Post: Sabin Center Expands the U.S. Climate Litigation Database with New Carbon Offsets Case Category"},"content":{"rendered":"
<\/div>
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\"\"<\/a><\/p>\n

As <\/span>markets for<\/span> both <\/span>voluntary<\/span><\/a> and <\/span>mandatory<\/span><\/a> carbon offsets<\/span> and credits have grown in recent years, the number of lawsuits involving <\/span>offsets<\/span> or credits also has increased<\/span>. For example, American consumers have recently sued multiple companies, including <\/span>Delta <\/span><\/a>and <\/span>Danone Waters<\/span><\/a> (which sells <\/span>Evian<\/span> <\/span>bottled water)<\/span>, for making potentially misleading claims of being \u201ccarbon neutral.\u201d Typically, companies make such claims <\/span>based on their purchase of<\/span> <\/span>carbon offsets<\/span><\/a> that, in principle, reduce or avoid carbon emissions or remove carbon from the atmosphere in an amount equal to emissions that the company produces. In practice, the carbon offset industry is often plagued by <\/span>spurious accounting<\/span><\/a>, limited accountability, and implausible promises of significant carbon sequestration that <\/span>have not translated into reality<\/span><\/a>. <\/span><\/p>\n

As an increasing number of parties litigate <\/span>\u201c<\/span>climate washing<\/span>\u201d<\/span> claims related to the use of carbon offsets, as well as other issues related to the creation, sale, marketing, and use of offsets and carbon credits, the Sabin Center has <\/span>decided<\/span> to expand<\/span> our<\/span> <\/span>U.S. Climate L<\/span>itigation <\/span>D<\/span>atabase to include <\/span>a <\/span>carbon offset<\/span>s<\/span> and credit<\/span>s<\/span> case category<\/span><\/a>.<\/span> We hope the<\/span> new category will provide a<\/span> resource to attorneys working on matters related to carbon offsets, as well as to others interested in how litigants and courts are addressing issues raised by <\/span>the voluntary and mandatory use of offsets and credits<\/span>.<\/span> (The Global Climate Litigation Database will be updated with a new case category <\/span>in the near future<\/span>.)<\/span><\/p>\n

Methodolog<\/span>y<\/span><\/strong><\/h3>\n

Potential cases for inclusion were<\/span> identified by searching certain key phrases in the state and federal case databases of LexisNexis and Westlaw. These phrases included \u201ccarbon offset,\u201d \u201ccarbon credit,\u201d \u201ccarbon neutral,\u201d and \u201ccap-and-trade.\u201d In keeping with the Sabin Center\u2019s <\/span>criteria<\/span><\/a> for inclusion in the database,<\/span> each<\/span> case <\/span>was reviewed <\/span>to determine whether<\/span> carbon offsets<\/span> or credits<\/span> were a<\/span> material<\/span> issue of fact or law<\/span>.<\/span> <\/span><\/p>\n

C<\/span>ases that met the criteria <\/span>were then sorted <\/span>into three subcategories: regulatory, commercial, and marketing. Regulatory cases most often involve a dispute between an environmental organization and a state or federal agency<\/span> regarding the use of carbon offsets<\/span>. A large proportion of these cases include claims made under the <\/span>California Environmental Quality Act<\/span><\/a>, which requires state and local agencies to publicly disclose environmental impacts of proposed projects. Often, the plaintiff in these cases <\/span>has <\/span>challenged a<\/span>n<\/span> agency\u2019s <\/span>reliance on carbon offsets<\/span> to mitigate the project\u2019s carbon emissions. Other regulatory cases involved <\/span>issues related<\/span> to <\/span>the use of offsets and credits in <\/span>cap<\/span>–<\/span>and<\/span>–<\/span>trade systems<\/span> such as<\/span> <\/span>California<\/span>\u2019s<\/span> system<\/span><\/a>. Cap-and-trade systems typically allow firms to purchase offsets to ensure they do not produce emissions greater than their allotment.<\/span><\/p>\n<\/div>\n<\/div>\n

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Commercial cases, the second subcategory, usually involve a dispute between a firm seeking to buy or produce carbon offsets, and a firm offering offsets or offset consulting services. In most of these cases, parties <\/span>have <\/span>brought either breach of contract, trade secret, or fraud claims, most of which implicate carbon offset<\/span>s<\/span> only as a matter of fact. <\/span>T<\/span>hese cases <\/span>are included because they <\/span>provide <\/span>highly <\/span>relevant information about the <\/span>use of litigation to influence and inform the <\/span>functioning of carbon offset markets.<\/span><\/p>\n

Finally, <\/span>a number of<\/span> cases <\/span>have <\/span>involved deceptive marketing claims against companies purchasing carbon offsets and claiming that they were \u201ccarbon-neutral\u201d (i.e., <\/span>\u201c<\/span>climate<\/span> <\/span>washing<\/span>\u201d<\/span> cases). These cases are expected to grow in number in the coming years.<\/span><\/p>\n

Th<\/span>e<\/span> initial round of case identification <\/span>identified <\/span>18<\/span> cases not previously included in the <\/span>U.S. <\/span>C<\/span>limate <\/span>L<\/span>itigation <\/span>D<\/span>atabase, as well as <\/span>25<\/span> that were already included in other categories. <\/span>The Sabin Center will continue to <\/span>maintain this new <\/span>case category<\/span><\/a> in the U.S. <\/span>Climate Litigation Database, and will soon add a similar new case category to the Global Climate Litigation Database.<\/span><\/p>\n<\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

As markets for both voluntary and mandatory carbon offsets and credits have grown in recent years, the number of lawsuits involving offsets or credits also has increased. For example, American consumers have recently sued multiple companies, including Delta and Danone Waters (which sells Evian bottled water), for making potentially misleading claims of being \u201ccarbon neutral.\u201d […]<\/p>\n","protected":false},"author":2314,"featured_media":23276,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[5673,69207],"tags":[69653,69650,9479],"class_list":{"0":"post-23273","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-litigation","8":"category-cross-cutting-issues","9":"tag-carbon-offsets-and-credits","10":"tag-climate-case-charts","11":"tag-online-resources","12":"czr-hentry"},"yoast_head":"\nGuest Post: Sabin Center Expands the U.S. Climate Litigation Database with New Carbon Offsets Case Category - Climate Law Blog<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/blogs.law.columbia.edu\/climatechange\/2024\/09\/17\/sabin-center-expands-the-u-s-climate-litigation-database-with-new-carbon-offsets-case-category\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Guest Post: Sabin Center Expands the U.S. Climate Litigation Database with New Carbon Offsets Case Category - Climate Law Blog\" \/>\n<meta property=\"og:description\" content=\"As markets for both voluntary and mandatory carbon offsets and credits have grown in recent years, the number of lawsuits involving offsets or credits also has increased. 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